We are getting the hardwood floors refinished in a small apartment. What questions should I ask the guy doing the floors? How many coats of poly? What else?
Just so you know. 7% for closing costs and fees seems to be a lot. Obviously I am not privy to the details of your situation but I would advise that you shop around to be sure that you are being quoted market rates for costs and fees. Get a Good Faith estimate to be sure there are not a bunch of junk fees you are being quoted.
You could also try a short term hard money loan. They are more expensive, but they may not need so much downpayment depending on the specifics of the deal. Since you are planning to live in the home you should be able to refinance after the proper seasoning.
Ignore my last question.. I just found my answer under the FAQ question part.
26. Is a contractor required to do the work? No. However, if the borrower wants to do any work or be the general contractor, they must be qualified to do the work, and do it in a timely and workmanlike manner. It is very important that the work be done in a time frame that will assure the completion of the work that will be agreed upon in the Rehabilitation Loan Agreement (signed at closing). A borrower doing their own work can only be paid for the cost of the materials. Monies saved can be allocated to cost overruns or additional improvements.
27. If the borrower does the work, how is the cost for work estimated? The cost estimate must be the same as if a contractor is doing the work, in case the borrower cannot (for some reason) complete the work.
Big thanks.. now I think i can move forward. I just need to find the other details with a FHA203K loan like if there are points and other such things.
Quote:
On 2008-12-25 20:12, bargain76 wrote:
We are just completing our first 203(k) sale. It was slow and cumbersome, but it looks like it is going to work.
I thought you could no longer do 203(k) on N/O/O, right?
You could also try a short term hard money loan. They are more expensive, but they may not need so much downpayment depending on the specifics of the deal. Since you are planning to live in the home you should be able to refinance after the proper seasoning.
Ted, I believe I went down this path when I first purchased the duplex 5 years ago. You know -- go down the list of items that might be plausible to increase value.
That is what I heard and realized then. Can of worms, costly, and not much ROI.
Here in MD, I have a couple of condos in a complex where the building is served by a single water line. The association gets a single water bill for the entire building, and the costs have been going up. Many occupants are renters who have no incentive to practice water conservation because the water is included in the rent.
A couple of years ago, our association investigated the cost of sub-metering so that each individual unit could get a separate water bill. The cost would have been just $300 per unit, but the proposal was voted down at the annual meeting.
Even though the proposal made sense for the long term, short sighted investor-owners could not get past the $300 assessment.
Just so you know. 7% for closing costs and fees seems to be a lot. Obviously I am not privy to the details of your situation but I would advise that you shop around to be sure that you are being quoted market rates for costs and fees. Get a Good Faith estimate to be sure there are not a bunch of junk fees you are being quoted.
You could also try a short term hard money loan. They are more expensive, but they may not need so much downpayment depending on the specifics of the deal. Since you are planning to live in the home you should be able to refinance after the proper seasoning.
Good Luck.
JS.
Ignore my last question.. I just found my answer under the FAQ question part.
26. Is a contractor required to do the work? No. However, if the borrower wants to do any work or be the general contractor, they must be qualified to do the work, and do it in a timely and workmanlike manner. It is very important that the work be done in a time frame that will assure the completion of the work that will be agreed upon in the Rehabilitation Loan Agreement (signed at closing). A borrower doing their own work can only be paid for the cost of the materials. Monies saved can be allocated to cost overruns or additional improvements.
27. If the borrower does the work, how is the cost for work estimated? The cost estimate must be the same as if a contractor is doing the work, in case the borrower cannot (for some reason) complete the work.
Big thanks.. now I think i can move forward. I just need to find the other details with a FHA203K loan like if there are points and other such things.
Quote:
On 2008-12-25 20:12, bargain76 wrote:
We are just completing our first 203(k) sale. It was slow and cumbersome, but it looks like it is going to work.
I thought you could no longer do 203(k) on N/O/O, right?
NOO meaning non owner occupied? well in my case it would be owner occupied.
You could also try a short term hard money loan. They are more expensive, but they may not need so much downpayment depending on the specifics of the deal. Since you are planning to live in the home you should be able to refinance after the proper seasoning.
Most of the hard money I see is 75% or less LTV. With 5% down are there any 95% LTV hard money options for a purchase or a rehab/purchase?
I am not sure how can they fund you
I think they can not be funded all of a sudden.
I would put your offer/counter in writing remind of the short closing schedule.
Have the brokerage pay for the warranty
Ted, I believe I went down this path when I first purchased the duplex 5 years ago. You know -- go down the list of items that might be plausible to increase value.
That is what I heard and realized then. Can of worms, costly, and not much ROI.
Thanks much.
Here in MD, I have a couple of condos in a complex where the building is served by a single water line. The association gets a single water bill for the entire building, and the costs have been going up. Many occupants are renters who have no incentive to practice water conservation because the water is included in the rent.
A couple of years ago, our association investigated the cost of sub-metering so that each individual unit could get a separate water bill. The cost would have been just $300 per unit, but the proposal was voted down at the annual meeting.
Even though the proposal made sense for the long term, short sighted investor-owners could not get past the $300 assessment.
I believe the $300 assessment would be less than the cost of just the permits in Raleigh. Short sighted investor-owners indeed!