.
- Thread starter TrailCy
- Start date
I'm not sure if this is a humble brag or a complaint? I'll go with humble brag, but dang that's a lot of money for a little house.
It wasn't my transaction, I just talk to my agent sometimes and he pointed this one out to me to show me how insane southern CA is right now. I mean it is not a nice place at all and no way I'd have paid a dime over asking given it needs complete renovation. Some people buy these 1000sq ft old houses that are in ideal neighborhoods and double or triple the size, I'm guessing that has to be the plan...but that is not for me.
currently fixing the few issues and re doing the basement flooring in our house then will be selling it. the market even in our small town has been moving fast and there are currently only 2 houses for sale in town. already have interest in my house from a few guys on the fire department who are renting and then friends of neighbors, house just down the road from ours sold in less then 24hrs even last month. but not looking forward to having to buy again here in central Iowa right after.
Yep- for those of you waiting for the bubble to burst, it may be awhile. As long as interest rates stay under 3% (and all indicators are that the Fed is keeping rates at or near zero for the foreseeable future), house prices will stay solid.
Usually they go up every year, but last year the assessments for most houses in Iowa (that I’ve seen) went down, followed by another increase this year. At least they can justify the increase this year due to a legitimate appreciation in Real estate valuations.
The Fed controls short term rates Not long term mortgage rates, but there is an indirect connection between the two.
Lenders tie into Prime and tack on a premium. Prime stays low, rates follow. However, I think inflation is coming and this could force rates higher.
Congrats OP on your new house!
All you young Cyclones out there- get that first house as soon as you can, even if it’s not the one you want. Build that equity and pay it off as fast as you can, rent it, and then go buy another one. Repeat repeat repeat.
All you young Cyclones out there- get that first house as soon as you can, even if it’s not the one you want. Build that equity and pay it off as fast as you can, rent it, and then go buy another one. Repeat repeat repeat.
Ours went up 2.8% and is still $20k (conservatively) below what we would list it at if selling. That's with an ever so slight tax rate decrease for Johnston - think they gave the credit for that to the penny sales tax increase that just passed.
My polk county assessment went up like 12-15%. I won’t argue with it, because the realistic value of my home is much higher with renovations. It’s nuts, we bought for 196k in 2018 and it’s worth 230k estimated via Zillow, before renovations. Which we did about 40k worth.
- Jun 20, 2006
- 38,253
- 22,520
- 113
great thread, and timely for our recent experience. We were gonna build... but lumber ... ooof. Not knowing how much higher it would go... double ooof.
So we have looked at 10+ homes in person (needing a very specific solution, so weeded out majority of styles and sizes). Our realtors neighbor had a listing coming on the market that was perfect for our needs.
We offered $50k over their asking, as a pocket listing, before they hit the market. Their neighbors suggested to ignore our offer and list the house for a weekend. (GRRRR)
On the market Friday PM - Sunday PM. 40+ showings. We altered our offer, kept the starting point but an escalation clause of $1,000 over best offer (we have no contingencies), topping out $150,000 over asking.
We won, and buyers knew of our special circumstances, but didn't use that as a weight. They wanted the cleanest, best offer. So, all said and done $101,000 over asking. ugh. Due diligence and earnest money was set at 7% !!
BUT, it is the house we need (location, setup, size, schools). So it was gonna be what it was gonna be.
So we have looked at 10+ homes in person (needing a very specific solution, so weeded out majority of styles and sizes). Our realtors neighbor had a listing coming on the market that was perfect for our needs.
We offered $50k over their asking, as a pocket listing, before they hit the market. Their neighbors suggested to ignore our offer and list the house for a weekend. (GRRRR)
On the market Friday PM - Sunday PM. 40+ showings. We altered our offer, kept the starting point but an escalation clause of $1,000 over best offer (we have no contingencies), topping out $150,000 over asking.
We won, and buyers knew of our special circumstances, but didn't use that as a weight. They wanted the cleanest, best offer. So, all said and done $101,000 over asking. ugh. Due diligence and earnest money was set at 7% !!
BUT, it is the house we need (location, setup, size, schools). So it was gonna be what it was gonna be.
What do you consider small. I live in a town of 2000 and the values are pushing up decently.
For people waiting, you will need to wait for interest rate movement and there will be some deals, especially in towns of 25k and less. A large portion of these houses are FHA lending, so there is a lot of 5% down. There are several refinances (even before Covid) that are for people pulling cash out of their houses to pay overspending. When rates go up, they will no longer be able to pull money from there and those houses will probably hit foreclosure or short sales.
Serious question. I thought sellers "had" to accept full offers when listing with a realtor. This makes it sound like sellers can "choose" which full offer (or better) to accept. Doesn't that open the door for all sorts of discrimination?
You don’t have to accept any offer you don’t want to accept.
- Jun 20, 2006
- 38,253
- 22,520
- 113
you can't choose a buyer based on discrimination as defined in the law (sex, race, etc). But you can exclude based on contingencies, move in date, close date, etc.
cake eater.
JK / congrats - we miss the spring, summer and fall in the twin cities but then I remember the winters.............
