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UTPhil2006

By UTPhil2006
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mchookem
mchookem

alrighty...i haven't wanted to jinx anything so i've been pretty quiet... but we just closed on our new home in Denver this morning so i can now officially say YEAH! 😃 in a nutshell - we sold

Esque
Esque

Thank you for this - gave me a good laugh.  But also a good reminder of how the general public does not understand what is going on in real estate and thus why so many get caught offsides when the tid

Neonmoon
Neonmoon

Realtor: You should list your house at 500K Client: But three houses down the street sold for 700K Realtor: Yeah, but those are overvalued due to pandemic Fed policy and institutional invest

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Wulaw Horn

Wulaw Horn 19073

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5 year old house, well built, 3500 square feet. On 6 acres, 45 minutes from downtown houston. Has a pool and a 1500 square foot mother in law cottage- fully built out like a regular house. just got the appraisal back at $550. I swear appraisers  are the dumbest mother tickets on the planet. Gave $12,500 value for the 1500 square foot mother in law cottage. 

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Assman

Assman 1830

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On 11/22/2021 at 8:44 PM, Wulaw Horn said:

Architect, engineer then contractor in that order.l I would think.  That’s the order you would build it in so seems like the same order for a renovation.  

Follow up question of my own here...

We're about to close on our house this week and want to start renovations ASAP.  This house has a theater room upstairs that we want to turn into a bedroom and add a bathroom inside as well.  Is this project big enough that an architect is warranted or can we just go straight to a construction contractor?  @Longhorn_Fan68

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Longhorn_Fan68

Longhorn_Fan68 33872

Posted
Posted (edited)
13 minutes ago, Assman said:

Follow up question of my own here...

We're about to close on our house this week and want to start renovations ASAP.  This house has a theater room upstairs that we want to turn into a bedroom and add a bathroom inside as well.  Is this project big enough that an architect is warranted or can we just go straight to a construction contractor?  @Longhorn_Fan68

I mean, it's ALWAYS best to have drawings/plans of what you want to build - even if it's a sketch on a napkin. There are things, that if not thought out ahead of time, will be magnitudes more expensive to deal with if not anticipated and included in the initial cost. My mantra is it is always cheaper to figure it out on paper than it is to figure it out in the field.

Wrt to your project specifically, a few things to think about that jumped out at me immediately (assuming you're planning to build things to code):

  • Depending on jurisdictional requirements, the conversion to a bedroom requires proper egress, both in the form of a code-compliant stair (as well as proper access to that stair) and window/door egress directly outside. the door into the bedroom might also be required to be a minimum width.
  • Again, depending on where this house is and the specific jurisdictional requirements, you may have to upgrade the water tap to add a bathroom - check that before proceeding.
  • Have an electrician check your service. A bedroom likely requires outlets more often than a theater room would. Make sure you have some circuits available to you
  • Depending on the age of the home you may have to make any smoke and CO2 detectors be a hardwired system instead of standalone devices.

If I think of anything else I'll let you know. Good luck!

Edited by Longhorn_Fan68
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Assman

Assman 1830

Posted
Posted
7 minutes ago, Longhorn_Fan68 said:

I mean, it's ALWAYS best to have drawings/plans of what you want to build - even if it's a sketch on a napkin. There are things, that if not thought out ahead of time, will be magnitudes more expensive to deal with if not anticipated and included in the initial cost. My mantra is it is always cheaper to figure it out on paper than it is to figure it out in the field.

Wrt to your project specifically, a few things to think about that jumped out at me immediately (assuming you're planning to build things to code):

  • Depending on jurisdictional requirements, the conversion to a bedroom requires proper egress, both in the form of a code-compliant stair (as well as proper access to that stair) and window/door egress directly outside. the door into the bedroom might also be required to be a minimum width.
  • Again, depending on where this house is and the specific jurisdictional requirements, you may have to upgrade the water tap to add a bathroom - check that before proceeding.
  • Have an electrician check your service. A bedroom likely requires outlets more often than a theater room would. Make sure you have some circuits available to you
  • Depending on the age of the home you may have to make any smoke and CO2 detectors be a hardwired system instead of standalone devices.

If I think of anything else I'll let you know. Good luck!

Thanks for the quick reply.

House was built in 2015.  The theater room is upstairs along with 2 other bedrooms, and it already has a faux window on the outside that looks like it can easily be replaced (maybe?).  I think the egress requirements will be met easily.  My only concern is the plumbing really.  The room already has a wet bar so in theory the plumbing is already there.  There's also a bathroom on the other side of the wall.  The project seems easy enough on paper which is why I was thinking foregoing an architect would be feasible, but I don't mind spending a couple extra thousand to make sure it's done right.

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LCHorn

LCHorn 2620

Posted
Posted
10 minutes ago, Assman said:

Thanks for the quick reply.

House was built in 2015.  The theater room is upstairs along with 2 other bedrooms, and it already has a faux window on the outside that looks like it can easily be replaced (maybe?).  I think the egress requirements will be met easily.  My only concern is the plumbing really.  The room already has a wet bar so in theory the plumbing is already there.  There's also a bathroom on the other side of the wall.  The project seems easy enough on paper which is why I was thinking foregoing an architect would be feasible, but I don't mind spending a couple extra thousand to make sure it's done right.

Haha, couple thousand for an architect!  @Longhorn_Fan68just sent you a bill for $1500 for answering your question.  
 

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Longhorn_Fan68

Longhorn_Fan68 33872

Posted
Posted
16 minutes ago, Assman said:

Thanks for the quick reply.

House was built in 2015.  The theater room is upstairs along with 2 other bedrooms, and it already has a faux window on the outside that looks like it can easily be replaced (maybe?).  I think the egress requirements will be met easily.  My only concern is the plumbing really.  The room already has a wet bar so in theory the plumbing is already there.  There's also a bathroom on the other side of the wall.  The project seems easy enough on paper which is why I was thinking foregoing an architect would be feasible, but I don't mind spending a couple extra thousand to make sure it's done right.

again, not sure where you are, but I would recommend budgeting 10-15% of your project budget to design professionals (depending on whether any engineering is needed)

sounds pretty straightforward. you can probably do it on your own. good luck finding any subs that aren't busy until 2023

4 minutes ago, LCHorn said:

Haha, couple thousand for an architect!  @Longhorn_Fan68just sent you a bill for $1500 for answering your question.  
 

which is still a drop in the pan compared to most "oopsies" on a job site

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Wulaw Horn

Wulaw Horn 19073

Posted
Posted

I just ended this last phone call with a borrower with "I haven't been this mad at an appraiser in 24 hours" after the last one I shared.

$950k sales price.

Comp 1- 975k sales price- they adjust it up to 1.02 comparing it to mine

Comp 2- $1.02 million sales price.  They adjust it down to 990k comparing it to mine.

Comp 3- $880k sales price.  They adjust that up to over $900k sales price.

 

What do you think my appraiser put down for his opinion of value?  If you guessed a smooth $750k you would be correct.  WTF?  How is that even possible?  My house is better than the lowest priced comp you picked and you assign a value $125k less?  How the fuck are these people that stupid? It makes me wish I had @UTPhil2006's guy out there that just appraised the wrong house. at least it appeared he got the value on it right!

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UTPhil2006

UTPhil2006 3807

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Posted
6 minutes ago, Wulaw Horn said:

I just ended this last phone call with a borrower with "I haven't been this mad at an appraiser in 24 hours" after the last one I shared.

$950k sales price.

Comp 1- 975k sales price- they adjust it up to 1.02 comparing it to mine

Comp 2- $1.02 million sales price.  They adjust it down to 990k comparing it to mine.

Comp 3- $880k sales price.  They adjust that up to over $900k sales price.

 

What do you think my appraiser put down for his opinion of value?  If you guessed a smooth $750k you would be correct.  WTF?  How is that even possible?  My house is better than the lowest priced comp you picked and you assign a value $125k less?  How the fuck are these people that stupid? It makes me wish I had @UTPhil2006's guy out there that just appraised the wrong house. at least it appeared he got the value on it right!

Jesus.  And yeah once we got the correct one appraised it actually went up even more.  I was good with the wrong house value as well but even better.  

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CBT

CBT 1282

Posted
Posted
1 hour ago, Wulaw Horn said:

I just ended this last phone call with a borrower with "I haven't been this mad at an appraiser in 24 hours" after the last one I shared.

$950k sales price.

Comp 1- 975k sales price- they adjust it up to 1.02 comparing it to mine

Comp 2- $1.02 million sales price.  They adjust it down to 990k comparing it to mine.

Comp 3- $880k sales price.  They adjust that up to over $900k sales price.

 

What do you think my appraiser put down for his opinion of value?  If you guessed a smooth $750k you would be correct.  WTF?  How is that even possible?  My house is better than the lowest priced comp you picked and you assign a value $125k less?  How the fuck are these people that stupid? It makes me wish I had @UTPhil2006's guy out there that just appraised the wrong house. at least it appeared he got the value on it right!

There has to be more to the story here. What was the justification? 

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Wulaw Horn

Wulaw Horn 19073

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Posted
11 minutes ago, CBT said:

There has to be more to the story here. What was the justification? 

I just got back the justification.  He hit the wrong fucking button.  Whoops, that's a typo.  Thanks dude.  Got everyone worked up because you can't proof read the most important thing on an appraisal which is, you know, the actual value.  

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Gil Bang

Gil Bang 25960

Posted
Posted
7 hours ago, Longhorn_Fan68 said:

I mean, it's ALWAYS best to have drawings/plans of what you want to build - even if it's a sketch on a napkin. There are things, that if not thought out ahead of time, will be magnitudes more expensive to deal with if not anticipated and included in the initial cost. My mantra is it is always cheaper to figure it out on paper than it is to figure it out in the field.

Wrt to your project specifically, a few things to think about that jumped out at me immediately (assuming you're planning to build things to code):

  • Depending on jurisdictional requirements, the conversion to a bedroom requires proper egress, both in the form of a code-compliant stair (as well as proper access to that stair) and window/door egress directly outside. the door into the bedroom might also be required to be a minimum width.
  • Again, depending on where this house is and the specific jurisdictional requirements, you may have to upgrade the water tap to add a bathroom - check that before proceeding.
  • Have an electrician check your service. A bedroom likely requires outlets more often than a theater room would. Make sure you have some circuits available to you
  • Depending on the age of the home you may have to make any smoke and CO2 detectors be a hardwired system instead of standalone devices.

If I think of anything else I'll let you know. Good luck!

TELEMMGLPICT000230424481_trans_NvBQzQNjv

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Chewbacca

Chewbacca 7780

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Posted
Sort of.  
You call the architect.  He calls the engineer.  On a properly run project, everything goes through the architect.  
Imagine there's a structural issue.  A completely sound engineering solution may be to put a post in the middle of your living room.  It may be a great idea from a structural engineering standpoint, but it sucks from every other standpoint.  
The architect is the traffic cop for the entire project. 
I'm guessing that [mention=684]Onboard 2.0[/mention] will agree.
You don't sub your contractor through your architect. You do sub your engineer.
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Wulaw Horn

Wulaw Horn 19073

Posted
Posted
5 minutes ago, Chewbacca said:
On 11/24/2021 at 5:33 PM, UTPhil2006 said:
Our main/go to lender UWM is now accepting up to 85% LTV on investment properties.  Figured there was a few of you that that is pertinent info to.

I don't know how investment properties pencil right now. Talking rentals, not flips.

Where at?  Anywhere in particular?  I’m thinking Conroe or Willis in 2022. 

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mchookem

mchookem 16336

Posted
Posted
13 minutes ago, Chewbacca said:
16 minutes ago, Wulaw Horn said:
Where at?  Anywhere in particular?  I’m thinking Conroe or Willis in 2022. 

Anywhere in the Denver metro area. I'm not buying rentals on another state. But our market is very similar to Austin.

yo...i know you're in CO, are you also in realty? 🤔 bc this will be pertinent to my interests in about four months...

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TKthunder2

TKthunder2 4992

Posted
Posted
19 hours ago, Assman said:

Thanks for the quick reply.

House was built in 2015.  The theater room is upstairs along with 2 other bedrooms, and it already has a faux window on the outside that looks like it can easily be replaced (maybe?).  I think the egress requirements will be met easily.  My only concern is the plumbing really.  The room already has a wet bar so in theory the plumbing is already there.  There's also a bathroom on the other side of the wall.  The project seems easy enough on paper which is why I was thinking foregoing an architect would be feasible, but I don't mind spending a couple extra thousand to make sure it's done right.

It’s a risk but sounds like you have a good setup.  I’d draw it out myself and discuss with a contractor and see what their thoughts are.  You shouldn’t need elevations so you could probably hire a draftsman and save a little money to draw it out right.

Other things to consider:

Are you on septic or sewer?  If septic you might have to upgrade your system to add a bathroom.

While you have a wet bar for plumbing which will cover water lines and 2 inch drain lines, if you’re adding a toilet you’ll need a 4 inch drain line and will have to know where that will tie into your plumbing and how it will get there since it’s not easy to place a 4inch pipe in your floor joists.

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UTPhil2006

UTPhil2006 3807

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19 hours ago, Wulaw Horn said:

I just got back the justification.  He hit the wrong fucking button.  Whoops, that's a typo.  Thanks dude.  Got everyone worked up because you can't proof read the most important thing on an appraisal which is, you know, the actual value.  

40 page document but yes let’s not figure out typos or that it’s the wrong ass house. I’m telling you I missed my calling as a crappy appraiser 

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Gil Bang

Gil Bang 25960

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Posted

FML. This year has totally sucked but  I'm fine because money in the bank, but I'm scheduled to close a nice enough deal next week.  Fucking client, who had a credit score of 805 when I had her qualified, has had her identity stolen with multiple credit lines opened. No idea if this will torpedo the deal that I was counting on to fund xmas.

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Gil Bang

Gil Bang 25960

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Posted

Meanwhile, I spent the past few days working with a guy that wants to sell a million-dollar rental that he owns to purchase a million-dollar pussy palace because he's newly divorced.  So, it's good to be me...at least I hope so.   $50,000 would come in handy, as most of y'all might imagine. 

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Neonmoon

Neonmoon 38129

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Posted
8 hours ago, Gil Bang said:

FML. This year has totally sucked but  I'm fine because money in the bank, but I'm scheduled to close a nice enough deal next week.  Fucking client, who had a credit score of 805 when I had her qualified, has had her identity stolen with multiple credit lines opened. No idea if this will torpedo the deal that I was counting on to fund xmas.

I doubt it drops her score 185 points below 620. What will happen is she might end up paying a higher interest rate. 

If necessary, Lender may require 

a copy of a police report, affidavit of identity theft available from the Federal Trade Commission, a letter of explanation

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Wulaw Horn

Wulaw Horn 19073

Posted
Posted
8 hours ago, Gil Bang said:

FML. This year has totally sucked but  I'm fine because money in the bank, but I'm scheduled to close a nice enough deal next week.  Fucking client, who had a credit score of 805 when I had her qualified, has had her identity stolen with multiple credit lines opened. No idea if this will torpedo the deal that I was counting on to fund xmas.

So- the deal shouldn’t have to be re-scored so any drop shouldn’t come into play because they won’t be given a score (if they are still within time that the old report hasn’t expired) 

they will do a soft pull, see the inquiries, and ask for a letter of explanation. That’s when you say identity theft/we are sorting this all out. 

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StruggleBus

StruggleBus 3922

Posted
Posted
8 hours ago, Gil Bang said:

FML. This year has totally sucked but  I'm fine because money in the bank, but I'm scheduled to close a nice enough deal next week.  Fucking client, who had a credit score of 805 when I had her qualified, has had her identity stolen with multiple credit lines opened. No idea if this will torpedo the deal that I was counting on to fund xmas.

Stupid fucking client. If she just wouldn’t have had her identity stolen you could have bought Gil Bang Jr. a sweet nerf gun for Christmas. What a bitch!

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Gil Bang

Gil Bang 25960

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BTW, my client got a rate of 3.125 on a 30 year (no points) , putting 100 down on a 450 purchase on a PUD deal.  It's not my go-to guy...it's a credit union out here, but I've worked with this LO on 3 deals now and he's easy for me and easy for the buyer. 

That's the nice thing about working this business in SoCal; even our small deals are fairly big by national standards.  After splits, I'll walk with 10k gross.  I suppose I could put that towards the purchase of a used corvette.  

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Wulaw Horn

Wulaw Horn 19073

Posted
Posted
50 minutes ago, Gil Bang said:

BTW, my client got a rate of 3.125 on a 30 year (no points) , putting 100 down on a 450 purchase on a PUD deal.  It's not my go-to guy...it's a credit union out here, but I've worked with this LO on 3 deals now and he's easy for me and easy for the buyer. 

That's the nice thing about working this business in SoCal; even our small deals are fairly big by national standards.  After splits, I'll walk with 10k gross.  I suppose I could put that towards the purchase of a used corvette.  

That would be slightly better than average. If she was super rate conscious on that deal I'd tell her that 2.95% would be the target number with that deal right now- but if it's a sale and you know the guys easy to use and will do it right that's not a bad deal at all.  National average today is 3.24% for a 30 year fixed conventional as an FYI....

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Gil Bang

Gil Bang 25960

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Posted
7 minutes ago, Wulaw Horn said:

That would be slightly better than average. If she was super rate conscious on that deal I'd tell her that 2.95% would be the target number with that deal right now- but if it's a sale and you know the guys easy to use and will do it right that's not a bad deal at all.  National average today is 3.24% for a 30 year fixed conventional as an FYI....

So, of course I want what's best for my client, but she was in the 4's on her last mortgage on the condo we sold a few months back, so she thinks it sounds great.  And I didn't recommend this guy...it's her credit union.  If I had picked the lender, I'd worry more about her getting a good deal. 

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Wulaw Horn

Wulaw Horn 19073

Posted
Posted
1 hour ago, Gil Bang said:

So, of course I want what's best for my client, but she was in the 4's on her last mortgage on the condo we sold a few months back, so she thinks it sounds great.  And I didn't recommend this guy...it's her credit union.  If I had picked the lender, I'd worry more about her getting a good deal. 

No doubt. Just a gauge of a moment in time at what the market looks like my man. 

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UTPhil2006

UTPhil2006 3807

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1 hour ago, Neonmoon said:

Better Mortage is laying off 9% of its workforce, 900 employees. 

https://www.businessinsider.com/online-mortgage-startup-better-lays-off-staff-as-ipo-looms-2021-12

The olds in my office think this is a good thing. I think it means technology is getting better. 

Still a dirty thing to do 3 weeks before Christmas 

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jimmyjazz

jimmyjazz 45961

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Posted
42 minutes ago, UTPhil2006 said:

Still a dirty thing to do 3 weeks before Christmas 

I've been laid off twice, the second time about a week before Christmas.  I knew it was coming, we were getting bought and the new VP Engineering had a virtually identical resume to mine (except German), so I was just hanging on for the severance pay, which actually got paid out.

It still kinda sucked.

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Wulaw Horn

Wulaw Horn 19073

Posted
Posted
3 hours ago, Neonmoon said:

Better Mortage is laying off 9% of its workforce, 900 employees. 

https://www.businessinsider.com/online-mortgage-startup-better-lays-off-staff-as-ipo-looms-2021-12

The olds in my office think this is a good thing. I think it means technology is getting better. 

Originations are down 30% allegedly next year. Refi market going to take a hit. Better has to do more refi’s than purchases I’d think bc there is still value with going with a local person, especially on sales. I think the olds are somewhat right. You are also onto something with efficiencies and technology improvements though I’m sure. 

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