All Encompassing Mortgage and Real Estate Thread

[Gil Bang 25907]

It's the deal referenced above.  Buyer is putting $600,000 down on a purchase of $830,000 on a secondary residence, a condo. 

[Wulaw Horn 19065]

6 minutes ago, Gil Bang said:

It's the deal referenced above.  Buyer is putting $600,000 down on a purchase of $830,000 on a secondary residence, a condo. 

Good deal on a 30 out there is probably 6.5

Good deal on a 15 maybe buying a little bit of points (less than $500) is a 6.  Buying no points it's 6.2 or so. I'd go 30 with that small a spread just as a matter of general principal.  That's with my easiest/best lender.  Provided you can find people out in your neck of the woods to do a 230k loan. 

[Gil Bang 25907]

Thx

 

[UTPhil2006 3804]

2 hours ago, Gil Bang said:

Thx

 

If you can get him to put down about 45k less there’s a pricing incentive around >275k

[Gil Bang 25907]

If you can get him to put down about 45k less there’s a pricing incentive around >275k

Tell me more

[UT_OB1 2217]

5 hours ago, Gil Bang said:

It's the deal referenced above.  Buyer is putting $600,000 down on a purchase of $830,000 on a secondary residence, a condo. 

You said this is their vacation home?  Do they have a daughter looking to get married?  Are they looking to adopt a (40 yo) son?  I’ll even wear diapers and onesies to sell it if that’s what it takes. 

[Gil Bang 25907]

Yeah, their primary is worth about 1.5, they have a pile of cash, 2 kids at UCSD and a 3rd already accepted.

I'm trying to get a deal together and collect my commission before they are arrested for whatever shady shit they've got to be doing to have all that dough.

J/k, he's a lawyer and they are both super cool.   I deal with her mostly...she's a wacky chick, in a good way.  Fun-wacky, not crazy mean wacky.  

Now that we've identified a property, I'll be dealing with him 95% of the time to get the deal closed.  She picked it, and now she's stepping aside. 

[CooterBrown 18003]

I’m relying on her boss who is the most experienced in our neighborhood and really successful to be part of this and she has been part of a lot of it so far.

When I sold my last house, I went with the lady that lived in the neighborhood and had listed 99% of homes that went up for sale.

She was a drunk and we only found our current house because she had the flu and her partner took over our search for a few days.

I’ll never go with a realtor again based on how popular they are in a particular neighborhood.

[Gil Bang 25907]

4 minutes ago, CooterBrown said:

When I sold my last house, I went with the lady that lived in the neighborhood and had listed 99% of homes that went up for sale.

She was a drunk and we only found our current house because she had the flu and her partner took over our search for a few days.

I’ll never go with a realtor again based on how popular they are in a particular neighborhood.

I'm a drunk, but I'm better than most of the top agents in my town.  I work harder, and I don't hand you off to some dipshit in the office.  I don't even use a transaction coordinator.  I do 100% of the work.

[LCHorn 2612]

At least in Austin, I’m convinced you can’t get hired as a transaction coordinator unless you can prove you failed your TREC licensing exam.  I don’t know what agents pay them per transaction but if it’s more than $100 it’s a big waste of money.  

[Gil Bang 25907]

300-400 for a residential deal out here.  But, CA has a ton of paperwork.

[Neonmoon 38129]

32 minutes ago, LCHorn said:

At least in Austin, I’m convinced you can’t get hired as a transaction coordinator unless you can prove you failed your TREC licensing exam.  I don’t know what agents pay them per transaction but if it’s more than $100 it’s a big waste of money.  

I’m convinced they’re all hired based on looks 

[Hornbeliever 712]

Shit is bananas.  My tenant doesnt move out until May 31 so I did experiment before hiring property mgmt/realtor to really rent my place in the '46. I put up a cheap yellow arrow sign at my rental house (not major street) on Saturday at 11 am.  By 4 pm, I had 4 people interested to see it and one guy willing to pay premium and not even having to see inside (he is building house in neighborhood and wants to keep tabs on construction while staying very close to their kids elementary school).

Anyways, going to show it to 5 people on Friday so let's hope this works out with great tenant that pays and takes care of shit.

[Gil Bang 25907]

1 hour ago, Hornbeliever said:

Shit is bananas.  My tenant doesnt move out until May 31 so I did experiment before hiring property mgmt/realtor to really rent my place in the '46. I put up a cheap yellow arrow sign at my rental house (not major street) on Saturday at 11 am.  By 4 pm, I had 4 people interested to see it and one guy willing to pay premium and not even having to see inside (he is building house in neighborhood and wants to keep tabs on construction while staying very close to their kids elementary school).

Anyways, going to show it to 5 people on Friday so let's hope this works out with great tenant that pays and takes care of shit.

join the local apartment association.  You can do cheap credit checks and tenant screenings through them.

[KYHorn 17013]

1 hour ago, Gil Bang said:

join the local apartment association.  You can do cheap credit checks and tenant screenings through them.

I believe Zillow does the same. Anyone have experience with them? I'm looking to start renting out our current home in the next couple of months.

[LCHorn 2612]

3 hours ago, KYHorn said:

I believe Zillow does the same. Anyone have experience with them? I'm looking to start renting out our current home in the next couple of months.

We use Zillow for our rentals-it makes it super easy for the applicant plus you can save your pictures and the copy of your ad for the next time it’s vacant.  
 

I’ve said this previously, but hire a good photographer.  Just because you’re have 100% control over the listing on Zillow shouldn’t convince that you can just take pics on an iPhone.  It’s super easy to tell which landlords have a professional photographer and which do not and I think makes an enormous difference in online curb appeal.  

[Wulaw Horn 19065]

12 minutes ago, LCHorn said:

We use Zillow for our rentals-it makes it super easy for the applicant plus you can save your pictures and the copy of your ad for the next time it’s vacant.  
 

I’ve said this previously, but hire a good photographer.  Just because you’re have 100% control over the listing on Zillow shouldn’t convince that you can just take pics on an iPhone.  It’s super easy to tell which landlords have a professional photographer and which do not and I think makes an enormous difference in online curb appeal.  

Does the online curb appeal get you more money?  Higher class of renter?  In this market it’s obviously not hard to get a place rented out pretty much immediately. What’s the benefit to doing that in a rental situation?
thanks, I will hang up and listen. 

[UT_OB1 2217]

I’ve been using keycheck and I make the applicants pay the ~30 fee, but will credit it back to their first month rent. Helps weed out people imo 

[Firemans4Horn 18034]

On 3/29/2023 at 11:01 AM, Beantown Express 2.0 said:

This is more on the real estate side since I put my house on the market Friday.  Had an offer at list by Sunday but they backed out because 6 years ago we had 17 piers put in the front of our house for some foundation repair.  My neighborhood is on a peninsula in Dallas on a lake and from what I have been told settling and foundation issues in north Texas is totally common and even more so near the lake.  My realtor tried to explain to their realtor that the houses in this neighborhood either had some foundation issues or are going to have foundation issues but the buyers said any home that has this is a non starter.  Should I be worried that most people view it this way?  Everyone I know looks at piers as a positive since the issue was fixed.  

As someone that lives in Dallas and lived in a house with a shitty slab that piers didn’t fix even with multiple repairs and “warranties” I don’t blame anyone in north Texas for walking away from a house that has had foundation work recently/ever. Your realtor sounds like the same shitty realtor I had when I bought the house that said “no big deal, all the houses in this neighborhood have had foundation work”. 
 

Best thing I did in my life/marriage was sell our “warrantied” house as-is and let someone else deal with that constant fucking mess. 
 

Pier and beam house the last 3 years with 0 issues.

In the words of Fleetwood Mac            🎶 Never Going Back Again 🎶 
 

 

[KYHorn 17013]

13 hours ago, LCHorn said:

We use Zillow for our rentals-it makes it super easy for the applicant plus you can save your pictures and the copy of your ad for the next time it’s vacant.  
 

I’ve said this previously, but hire a good photographer.  Just because you’re have 100% control over the listing on Zillow shouldn’t convince that you can just take pics on an iPhone.  It’s super easy to tell which landlords have a professional photographer and which do not and I think makes an enormous difference in online curb appeal.  

Do you use keypads for the locks or change out the locks with each renter?

[LCHorn 2612]

13 minutes ago, KYHorn said:

Do you use keypads for the locks or change out the locks with each renter?

I installed Kwikset locks on our rental doors (we have two rent houses) so I can re-key them without getting a locksmith. 

 

13 hours ago, Wulaw Horn said:

Does the online curb appeal get you more money?  Higher class of renter?  In this market it’s obviously not hard to get a place rented out pretty much immediately. What’s the benefit to doing that in a rental situation?
thanks, I will hang up and listen. 

I mean, everything comes down to money, right?  More eyeballs=more chance to find a better quality tenant=most higher quality tenants will pay more. 

We've been doing this for six or seven years now and the biggest lessons we've learned:

1.  Get GREAT photographers.

2.  All of our tenants have been young couples--we're not selecting for this but it's been the tenant pool in the Domain area where the houses are

3.  This is kind of an art, but I prefer to price is under the most expensive in the area but get close to it ($100 or so a month away).  My pictures are going to do the heavy lifting but I'm going to want to convey that we're a better quality house than the cheap ones but less expensive that the most expensive option. 

4.  Leases terminate in May or June but no later (this is big, we've had leases terminate in October and couldn't find a tenant for three months). 

[UTPhil2006 3804]

Finally broke through the 3.30 threshold to 3.27 (back at 3.301 as of this post) so as they say the 7th times the charm 

[Wulaw Horn 19065]

5.5 coupon is currently at 101.55. That was sort of our high point since rates bottomed out (so far) on the year in February (higher the coupon the lower the interest rate).  I think I predicted back in early March that we'd see 101.50 again in a month and we just got there today.  As a point of comparison, the last time the market had it's freak out a couple weeks ago that was as low as 98.8 I want to say.  That's the difference between national average at 7% and the 6.37% they are at right now.  

Technical wise we have broken above the 200 day moving average so that's not acting as support rather than resistance, so maybe that's good.  Bad jobs report today.  Allegedly next inflation report is going to be good.  Maybe it's here (start of rates falling in a meaningful way). Probably not.  But maybe. 

 

[Gil Bang 25907]

Ah fuck me.  

Here's what happened.  

Condo is Carlsbad, a short hop to the beach, a 2nd home for a couple that live in Tahoe. 

Priced at $830,000.  It's furnished, but the furniture is meh.  The buyers are also going to use it as a 2nd home/beach flophouse, so the furniture is "good enough".  We offer full-price, but want it furnished.   The seller comes back and says the furniture is worth $5000, and counter at $835,000.

We kick it around, and decide to meet in the middle; $832,500.

Sellers agree, but want to exclude a few pieces (who gives a fuck).  They also want my buyers to cross-qualify with their lender.  Neverfuckingmind that my guys are putting $600,000 down.  We agree, because we really have to agree.  

Yada yada yada, the buyer's lender (not my guy, they already had a relationship) isn't cooperative, fucks around, and another offer comes in, at a higher price.  I have to negotiate a but, but at the end of the day, my guys are so strong that they took us at a lower price and we opened escrow today.

[Neonmoon 38129]

48 minutes ago, Gil Bang said:

They also want my buyers to cross-qualify with their lender.

Now that’s some wild shit. 

[Gil Bang 25907]

5 minutes ago, Neonmoon said:

Now that’s some wild shit. 

Pretty common out here.

It doesn't bother me on a FHA or something where you're worried about the buyer qualifying, but my guys can prove up over 1 million in cash. 

[Neonmoon 38129]

9 minutes ago, Gil Bang said:

Pretty common out here.

It doesn't bother me on a FHA or something where you're worried about the buyer qualifying, but my guys can prove up over 1 million in cash. 

Fuck that. Unlike realtors, we don’t have exclusivity contracts. So after busting my ass to recruit the realtors referral business, knock it out of the park with the clients, etc., I have to compete with the sellers preferred lender because the seller’s are spoiled cunts?

 

[Gil Bang 25907]

Yes.

As far as "exclusivity contracts", i know that some agents get buyers to sign deals, but not me.  I work my ass off.   If you want to dump me at the last minute, go ahead. 

And it's happened a time or two. Somebody walks into an open house, gets swept up, the attending agent writes an offer, and I'm left with my cock in my hand.

[Neonmoon 38129]

No thanks. 

[South Austin 52448]

7 hours ago, Gil Bang said:

Somebody walks into an open house, gets swept up, the attending agent writes an offer, and I'm left with my cock in my hand.

I mean, if you were my agent, and you started masturbating at an open house, I’d drop you too.

[UTPhil2006 3804]

8 hours ago, Neonmoon said:

Fuck that. Unlike realtors, we don’t have exclusivity contracts. So after busting my ass to recruit the realtors referral business, knock it out of the park with the clients, etc., I have to compete with the sellers preferred lender because the seller’s are spoiled cunts?

 

Mf this. I work my ass off to cultivate these relationships. Who else is gonna buy y’all Lone Star and bitch about the Yankees 

[Wulaw Horn 19065]

2 hours ago, South Austin said:

I mean, if you were my agent, and you started masturbating at an open house, I’d drop you too.

I’d pay extra. To each his own. 

[LebongJames 1791]

How are rates moving today with unemployment being higher than expected?

 

[BearSchlong 8083]

Pretty common out here.
It doesn't bother me on a FHA or something where you're worried about the buyer qualifying, but my guys can prove up over 1 million in cash. 

That is astounding. Existing lender or is the seller getting a new property with mortgage and they’re trying to go for a twofer and offering an incentive if they get both loans? Other than qualifying does your buyer have to see their mortgage offer?

[jimmyjazz 45885]

I can't recall the exact numbers, but ~ 20 years ago we were selling our house in Travis Heights.  The negotations with an interested buyer went something like this:

Us:  $550K

Them:  $530K

Us:  $540K

Them:  $532K

Us:  $535K

Them:  $525K and we want your furniture

 

Uh, what?  Another buyer showed up and we told the original offer to pound sand.  I'm sure shit like that happens from time to time, but it struck me as really odd.

[Gil Bang 25907]

1 hour ago, BearSchlong said:

That is astounding. Existing lender or is the seller getting a new with mortgage and they’re trying to go for a twofer and offering an incentive if they get both loans? Other than qualifying does your buyer have to see their mortgage offer?

No, it's usually a quickie deal, and done lender-to-lender.  Send over the DU, credit scores, etc.  The borrower usually doesn't even know anything more than "you're good to go".

16 minutes ago, jimmyjazz said:

I can't recall the exact numbers, but ~ 20 years ago we were selling our house in Travis Heights.  The negotations with an interested buyer went something like this:

Us:  $550K

Them:  $530K

Us:  $540K

Them:  $532K

Us:  $535K

Them:  $525K and we want your furniture

 

Uh, what?  Another buyer showed up and we told the original offer to pound sand.  I'm sure shit like that happens from time to time, but it struck me as really odd.

in cases of 2nd homes, including furniture is often a bonus, because it's not worth much 2nd hand, it's a PITA, and it's expensive to move. 

[royiv 9247]

1 minute ago, Gil Bang said:

No, it's usually a quickie deal, and done lender-to-lender.  Send over the DU, credit scores, etc.  The borrower usually doesn't even know anything more than "you're good to go".

What's in it for the seller?

[Wulaw Horn 19065]

1 minute ago, Gil Bang said:

No, it's usually a quickie deal, and done lender-to-lender.  Send over the DU, credit scores, etc.  The borrower usually doesn't even know anything more than "you're good to go".

Honestly that makes sense to me. As a seller you are always worried that you don't know the lender- he's a moron- he shouldn't have qualified that buyer yada yada yada.  I get why you'd want that assurance for sure from someone you know and trust

[Gil Bang 25907]

1 minute ago, royiv said:

What's in it for the seller?

 

Just now, Wulaw Horn said:

Honestly that makes sense to me. As a seller you are always worried that you don't know the lender- he's a moron- he shouldn't have qualified that buyer yada yada yada.  I get why you'd want that assurance for sure from someone you know and trust

question and answer.

 

But in my case, it was dumb.  My buyers are putting $600,000 down, and can prove-up twice that amount.   

[Neonmoon 38129]

Hey @Wulaw Horn send me over all your current clients info. I’m going to cross qualify them

 

[Gil Bang 25907]

truthfully, this stems from the fact that "pre-qualification" doesn't mean a whole hell of a lot.

"subject to verifying your credit, employment, income and debts".

[Wulaw Horn 19065]

3 minutes ago, Neonmoon said:

Hey @Wulaw Horn send me over all your current clients info. I’m going to cross qualify them

 

I didn't say I'd like it or that I'd voluntarily do that, but I could see why the seller would want that for sure. It's logical. Especially if you are in a tight sellers market and anytime a house busts out it puts a stank on the house.

[royiv 9247]

4 minutes ago, Gil Bang said:

 

question and answer.

 

But in my case, it was dumb.  My buyers are putting $600,000 down, and can prove-up twice that amount.   

Interesting. I've only sold three houses in my life. One was all cash and the other two required financing. It never really crossed my mind that I would want to ask the buyer to use a lender known to me/my agent. I try to do right by people who have relationships with someone and would feel really shitty about fucking some poor sap that's trying to earn a living out of a deal that they've already been working on.

[Wulaw Horn 19065]

1 minute ago, royiv said:

Interesting. I've only sold three houses in my life. One was all cash and the other two required financing. It never really crossed my mind that I would want to ask the buyer to use a lender known to me/my agent. I try to do right by people who have relationships with someone and would feel really shitty about fucking some poor sap that's trying to earn a living out of a deal that they've already been working on.

From what Gil is saying it doesn't sound like seller is forcing use of another lender- just having his guy he trusts look it over and make sure it's an actual deal, which is two pretty different things if that's all it is.  I would sort of doubt that's not all it is every time, but everytime I've sold it's been top of mind. That could be b/c I work in the industry and I know all the ways a deal can go bad.  

[Gil Bang 25907]

3 minutes ago, royiv said:

Interesting. I've only sold three houses in my life. One was all cash and the other two required financing. It never really crossed my mind that I would want to ask the buyer to use a lender known to me/my agent. I try to do right by people who have relationships with someone and would feel really shitty about fucking some poor sap that's trying to earn a living out of a deal that they've already been working on.

Not asking the buyer to USE your lender, just asking them to run their shit up the flagpole for the lender to salute.

[UTPhil2006 3804]

20 minutes ago, Neonmoon said:

Hey @Wulaw Horn send me over all your current clients info. I’m going to cross qualify them

 

Let me get in on that as well. 

[Neonmoon 38129]

19 minutes ago, Wulaw Horn said:

From what Gil is saying it doesn't sound like seller is forcing use of another lender- just having his guy he trusts look it over and make sure it's an actual deal, which is two pretty different things if that's all it is.  I would sort of doubt that's not all it is every time, but everytime I've sold it's been top of mind. That could be b/c I work in the industry and I know all the ways a deal can go bad.  

Yeah, I am mostly just kidding, providing a DU or whatever to show proof of approval would be fine. But there are some sketchy fucks out there, and the first time someone tried to steal a client would be the last time I accommodate that seller request 

[Gil Bang 25907]

 

[Mother mopar 3318]

 

Well, that was fun while it lasted uh.

[Kwix 2186]

Ok, so time for me to join the thread.

We are making an offer this weekend on a house in the north Dallas area.  My realtor has a couple preferred lenders, but I would like something to compare their rates against. I'm also open to going with a lender that surly knows/recommends.

Looking at 710k purchase price with 20% down, with either a 30yr or 15yr fixed mortgage.  Probably not buying points unless there is a compelling reason.  Would also need the ability to do a 1 time paydown and re-amortization after we sell our existing house.

I know it's a weekend and Monday's rates wont be the same as our potential closing date, but what are we looking at right now for rates?