Author Topic: When to Walk Away?  (Read 4679 times)

asiljoy

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When to Walk Away?
« on: October 19, 2015, 06:51:34 AM »
We had an inspection on a house last week and I want to walk away, but don't exactly have a good reason other than my gut says flee.

The supposedly turn-key house is going to require a roof, a tree taken down, and a new water heater before we move in, and a new air conditioner within 2-3 years, and a slab repaired under the garage. The inspector didn't say anything about the new renovation in the basement other than he thought it was suspicious that they painted all the walls and covered the window(the other windows aren't covered) in an area where he thought water was likely to have entered the house when he looked at the grading outside. Our offer on the house reflected the idea that it was turnkey, so we feel like we're getting the short end of the stick unless we ask them for a lot of money here.

We aren't "house" people and aren't sure if this is just par for the course or if we're getting screwed, but my gut says we're getting screwed.

My question is more or less, what are others breaking points for when they'd walk away from a house in the neighborhood they want to be in, close to work, closer to kids school, and walking distance to pretty much everything you'd need?

OneDollarAtATime

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Re: When to Walk Away?
« Reply #1 on: October 19, 2015, 06:58:58 AM »
Depending on how much I cared about the neighborhood, closer to work, kids school, etc.  I maybe wouldn't walk away right off the bat, but I would get some estimates for those repairs and lower the buying price by that amount (plus a little extra for having to deal with it all).  If they don't go for it, then tough for them -- there's other places for sale.  If that means the buying price drops by $50k, then so be it. 

Trust your gut -- otherwise you might move in and always wonder what problem is around the next corner.  For buying a house, the peace of mind is worth it.

pbkmaine

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When to Walk Away?
« Reply #2 on: October 19, 2015, 07:03:27 AM »
Walk away. It's not just your gut. The evidence is all there right in front of you, particularly what you are seeing in the basement.
« Last Edit: October 19, 2015, 07:05:46 AM by pbkmaine »

Another Reader

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Re: When to Walk Away?
« Reply #3 on: October 19, 2015, 08:03:50 AM »
Sounds like a cheap flip by someone that did not know what they were doing and covered up a lot of what they could not afford to repair.  Based on what you describe, I would cancel the contract and look for something else.  And shame on your agent for not pointing out the obvious flaws.  Good agents get more business through referrals, and take better care of their clients.

undercover

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Re: When to Walk Away?
« Reply #4 on: October 19, 2015, 08:25:27 AM »
There's a price for everything. If it's cheap enough, go for it. If it's too expensive and they won't budge, then sayonara.

DaveR

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Re: When to Walk Away?
« Reply #5 on: October 19, 2015, 09:49:13 AM »
Trust your gut. You offered based on a set of assumptions (turnkey), but now that you have more information, your offer should reflect that.

Location, schools, amenities all have value...a dilapidated shack on that spot would be worth something. You're looking at something a little nicer than a shack, but certainly not perfect. You just need to decide if the amenities counter the issues. Everyone is different. What a house is worth to you will be different than what it is worth to me. And both will be different from what it's worth to the seller.

There are other houses. I guarantee you missed a better deal last month, and didn't even know it. There will be more opportunities next month.

index

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Re: When to Walk Away?
« Reply #6 on: October 19, 2015, 11:18:43 AM »
Submit a counter offer asking for the seller to replace the roof, water heater, and remove the tree. Once they know about it, they are legally obliged to tell anyone else looking at the house about these deferred maintenance issues.


asiljoy

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Re: When to Walk Away?
« Reply #7 on: October 19, 2015, 11:31:03 AM »
Submit a counter offer asking for the seller to replace the roof, water heater, and remove the tree. Once they know about it, they are legally obliged to tell anyone else looking at the house about these deferred maintenance issues.

We're currently toying with this, but our realtor is telling us to be careful not to lose the house. Most likely, we're going to walk away from the house and our realtor as I don't really want to do this kind of deal with someone I don't trust. The bummer is we sold our house that we liked, but wasn't quite perfect, already and now it looks like we'll be renting for a couple months while we try to figure out where to go/what to do. Oh well, live and learn.

Uturn

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Re: When to Walk Away?
« Reply #8 on: October 19, 2015, 12:34:04 PM »
but our realtor is telling us to be careful not to lose the house.

Rough translation "buy this house so I can get my commission.  I suck at being a Realtor and money is running short."

Kitsunegari

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Re: When to Walk Away?
« Reply #9 on: October 19, 2015, 02:04:57 PM »
but our realtor is telling us to be careful not to lose the house.

Rough translation "buy this house so I can get my commission.  I suck at being a Realtor and money is running short."

+1
If it was a good deal, they would have no trouble finding a buyer and wouldn't care who it was.
I vote for walking away. 'Gut feeling' IS a reasonable way to decide something. If something goes wrong, the hassle will be neverending. You can probably find something similar anyway.

Jack

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Re: When to Walk Away?
« Reply #10 on: October 19, 2015, 02:16:01 PM »
Don't immediately walk away; make a really low-ball counter-offer because of all the problems and see if the seller is willing to make it worth your while. Just be sure to make the counter so cheap that you'd be perfectly happy accepting the house in its current condition at that price, and then be willing to walk if the seller fails to accept.

Mr. Green

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Re: When to Walk Away?
« Reply #11 on: October 19, 2015, 03:41:12 PM »
I would walk away. Fixing basements where water is coming in can get really ugly and really expensive. If it looks like the seller is covering that up there's no concession I would accept that would remedy this.

Shinplaster

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Re: When to Walk Away?
« Reply #12 on: October 19, 2015, 04:02:44 PM »
I would walk away. Fixing basements where water is coming in can get really ugly and really expensive. If it looks like the seller is covering that up there's no concession I would accept that would remedy this.

+1

Had a house with water issues that were not disclosed.  We were inexperienced, and didn't see the signs.  We were able to mostly fix it, but it was annoying, and impossible to fix totally without spending a ton of money.  We were glad to unload it a few years later.  Yes, we disclosed the issues that remained, but our buyers didn't care, or perhaps were convinced by their realtor to overlook it.

Dump the realtor.  Real estate agents claim they protect your interests, and urging you to buy what could be a money pit is contrary to that claim.  If you want to get it for actual value, try and figure out what it would cost to waterproof the foundation walls, do the other repairs, etc., and make your offer reflect that.   You should want the house because it's good value, plus has the buzz of being right emotionally too.  A bad gut feeling is a warning that something is off.

pbkmaine

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Re: When to Walk Away?
« Reply #13 on: October 19, 2015, 04:57:43 PM »
 Agree with all that has been said above. Never use this realtor again.

Megma

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Re: When to Walk Away?
« Reply #14 on: October 19, 2015, 05:55:05 PM »
but our realtor is telling us to be careful not to lose the house.

Rough translation "buy this house so I can get my commission.  I suck at being a Realtor and money is running short."

+1
If it was a good deal, they would have no trouble finding a buyer and wouldn't care who it was.
I vote for walking away. 'Gut feeling' IS a reasonable way to decide something. If something goes wrong, the hassle will be neverending. You can probably find something similar anyway.

+3

If it's a house in the exact place you want to be where there are no others for sale that's one thing, otherwise I'd walk away. I'd probably also get a new agent if you feel they're pressuring you to buy a house in any way, especially a "turnkey" priced house that has lots of issues.

asiljoy

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Re: When to Walk Away?
« Reply #15 on: October 19, 2015, 07:08:56 PM »
We ended up walking away pretty easily from the house after some ridiculously expensive estimates to take out the tree (9,000 and that only covered taking out the tree) and insulate/reroof (7-8,000). We decided the house wasn't worth countering and being stuck with whatever other bills were hiding there. We're still not sure what we're going to do about the realtor because apparently we're really bad at kicking people to the curb. In any case, we've had enough stress for one day.

Mntngoat

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Re: When to Walk Away?
« Reply #16 on: October 21, 2015, 08:09:11 AM »
depending on actual condition removing a  tree is  a  few hundred $ a  water heater if it truly needs replacement, I can replace for  less than $200.  I reroofed my parents home 23 years ago  for less than $5K  including tearoff  of shakes and installing plywood sheathing.   
Seems to me you are getting worked up about a whole lot of nothing.   Sounds like your inspector is trying to justyify the fee you are paying him and feels he  is not doing his job if he doesn't find soemething wrong. 
Just like lots of building inspectpors  I run up against every day.

ML

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Re: When to Walk Away?
« Reply #17 on: October 24, 2015, 01:11:41 AM »
Easy, walk. You have to ask on this one?