Listing agent wanted me to initial a document that says I received certain reports (e.g., termite report, 9A report, mold report, etc.) even when I haven't received them! My realtor knows that we haven't received them, brought it up to his attention and he said that if I don't initial those forms, we don't have a deal! This is the kind of stuff these brokers/realtors do behind the curtains and never expect to get caught! I wish I was an undercover investigator working for the Department of Real Estate to catch all of the unethical activity these son of a biscuits try to pull!
It's a lot of work once your offer gets accepted and the thought of losing a deal and starting all over is exhausting and a lot of buyers (like myself) are afraid to walk away and will just do as they say. So with that being said.. there I was.. initialing these reports that I have "received."
Another great thing that happens behind the curtains, is that they require you to sign about 3 to 5 forms requesting your rights to be waived for X,Y, and Z! (e.g., sue, no final inspection before close of escrow (COE), and the list goes on). The law is suppose to protect you, but if you waive your right, the law doesn't protect you, simple as that. But let me remind you, if you don't sign these forms, you won't get that house you invested x amount of hours in.. haha what a joke!
Another fun thing I did yesterday was meet with a contractor who said that the roof needs to be re-deck and was charging me $9,000 for an 800 sq. ft. home and another $9,000 for a 900 sq. ft home! (remember.. this property is a duplex). Oh and his company stands on his prices being very competitive! another joke! But on a serious note, I didn't include the roof on my budget. My budget is $18,000, however, with the 203k streamline I can have improvements up to a total of $35,000. I am not hitting that max, because the more money I borrow, the more my monthly payments will be.
Quick loan update: locked a 3.75% interest rate with Wells Fargo for a $215,000 loan amount and 3.5% down. Monthly payment will be $1,504. Whenever you think of buying your first home or your second home, please make your life easier by buying a multi-unit property so you can have the second unit help with your mortgage. In my scenario, I am planning on renting the first unit (2 bedroom/1 bath) for about $1,200 and the remainder $304 will be my monthly payment! Talk about playing your cards right! Ok now check this out... when I move out...I will rent out my unit for about the same price ($1,200) and I will then have $890 left over! Of course this isn't including regular expenses I'll incur along the way (water bill, repairs and maintenance).
Start saving your money so you can find that investment property that will bring in passive income!
No comments:
Post a Comment