Author Topic: First Time Second Home Buyer - Advice  (Read 9359 times)

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Online anteaterscientist

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Re: First Time Second Home Buyer - Advice
« Reply #75 on: August 19, 2021, 03:26:17 PM »
Did my first offer, lost to another presumed cash buyer.

Offline Compressed-Village

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Re: First Time Second Home Buyer - Advice
« Reply #76 on: August 19, 2021, 04:04:00 PM »
I don’t think the FED can do much about raising rate.

They can only talk about, thinking about stop the tapering the bond purchase and you will have a major pull back in the equity market. This might pause the housing market hot run.

When you got cash sitting without any place to put, tangible assets is the next go to.

Even if prices is sky high

Offline akula1488

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Re: First Time Second Home Buyer - Advice
« Reply #77 on: August 19, 2021, 04:25:35 PM »
Did my first offer, lost to another presumed cash buyer.

One offer in 4 months? You must have a lot of patience.

Online anteaterscientist

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Re: First Time Second Home Buyer - Advice
« Reply #78 on: September 01, 2021, 11:50:24 AM »
Made another offer on another property, a few "stronger" offers ahead of me that are financed and so lost to those.
It's not in Irvine.

The situation isn't pressing, but getting annoyed with the limited choices. 

One fewer buyer competitor atleast?

Online anteaterscientist

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Re: First Time Second Home Buyer - Advice
« Reply #79 on: September 17, 2021, 01:49:45 PM »
Update 4: My agent accompanied me to see a property in the morning, within same day my offer was submitted but my agent found out the property opened escrow in the morning. They did not indicate to my agent that property was going to open escrow or inform of any offer.  The place was listed by Redf1n (censoring the name).

Wouldn't have bothered. Offer still out there, set to expiring in the next day.

Is this normal?

Offline Compressed-Village

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Re: First Time Second Home Buyer - Advice
« Reply #80 on: September 17, 2021, 02:54:57 PM »
There is very little motivation for sellers to sell now, especially in prime areas:

1) Transactional costs are very high. Highly likely gain > 500k, thus portion has to be taxed and that amount sent to tax cannot be applied to next home. (Lost equity). Selling/buying costs.
2) Covid and significantly less relocations; thus homeowners are moving less. Also, mentally people are very grateful to own a home during pandemic and those who don’t are more desperate.
3) Interest rates are very low + high demand; incremental cost to pay additional 100k-200k are fairly low (350-700/month) compared to waiting around and waiting for more price hikes.
4) California tax rate is locked. Changing home now is likely to double one’s tax liability
5) Dumbest thing one can do is selling your home and rent waiting for a crash. More people understand/realize this now.

Online Irvinehomeseeker

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Re: First Time Second Home Buyer - Advice
« Reply #81 on: September 17, 2021, 03:35:14 PM »
There is very little motivation for sellers to sell now, especially in prime areas:

1) Transactional costs are very high. Highly likely gain > 500k, thus portion has to be taxed and that amount sent to tax cannot be applied to next home. (Lost equity). Selling/buying costs.
2) Covid and significantly less relocations; thus homeowners are moving less. Also, mentally people are very grateful to own a home during pandemic and those who don’t are more desperate.
3) Interest rates are very low + high demand; incremental cost to pay additional 100k-200k are fairly low (350-700/month) compared to waiting around and waiting for more price hikes.
4) California tax rate is locked. Changing home now is likely to double one’s tax liability
5) Dumbest thing one can do is selling your home and rent waiting for a crash. More people understand/realize this now.

For incremental cost - Consider property Taxes as well, which would be going up in addition to the loan amount!

Offline sleepy5136

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Re: First Time Second Home Buyer - Advice
« Reply #82 on: September 17, 2021, 04:01:51 PM »
Isn’t there a prop that passed in ca where ppl age 55+ can carry over their old property taxes to the new place? But I guess ppl that age don’t need to upgrade and aren't willing to pay a premium in the current market.
« Last Edit: September 17, 2021, 06:30:01 PM by sleepy5136 »

Online anteaterscientist

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Re: First Time Second Home Buyer - Advice
« Reply #83 on: September 17, 2021, 04:12:10 PM »
Isn’t there a prop that passed in ca where ppl age 55+ can carry over their old property taxes to the new place? But I guess ppl that age don’t need to upgrade and pay the high premium

Prop 19

Offline fatduck

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Re: First Time Second Home Buyer - Advice
« Reply #84 on: September 17, 2021, 07:10:56 PM »
Update 4: My agent accompanied me to see a property in the morning, within same day my offer was submitted but my agent found out the property opened escrow in the morning. They did not indicate to my agent that property was going to open escrow or inform of any offer.  The place was listed by Redf1n (censoring the name).

Wouldn't have bothered. Offer still out there, set to expiring in the next day.

Is this normal?
They probably figure they may as well get your offer in case escrow falls through

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Re: First Time Second Home Buyer - Advice
« Reply #85 on: September 17, 2021, 10:06:01 PM »
Update 4: My agent accompanied me to see a property in the morning, within same day my offer was submitted but my agent found out the property opened escrow in the morning. They did not indicate to my agent that property was going to open escrow or inform of any offer.  The place was listed by Redf1n (censoring the name).

Wouldn't have bothered. Offer still out there, set to expiring in the next day.

Is this normal?
They probably figure they may as well get your offer in case escrow falls through

I never change the status of a listing until the deposit is in escrow. With my experience, the majority of cancellations happen before the deposit is made.
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Online anteaterscientist

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Re: First Time Second Home Buyer - Advice
« Reply #86 on: September 18, 2021, 09:14:35 PM »
Update 4: My agent accompanied me to see a property in the morning, within same day my offer was submitted but my agent found out the property opened escrow in the morning. They did not indicate to my agent that property was going to open escrow or inform of any offer.  The place was listed by Redf1n (censoring the name).

Wouldn't have bothered. Offer still out there, set to expiring in the next day.

Is this normal?
They probably figure they may as well get your offer in case escrow falls through

I never change the status of a listing until the deposit is in escrow. With my experience, the majority of cancellations happen before the deposit is made.

Is the seller obligated or out of courtesy to tell the visiting buyer that "escrow is going to open in the morning, but feel free to check out the place"?

I'm aware of instances with people still visiting properties with full knowledge that it has opened escrow. However, I stepped onto the property with no knowledge.

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Re: First Time Second Home Buyer - Advice
« Reply #87 on: September 18, 2021, 09:32:01 PM »
Update 4: My agent accompanied me to see a property in the morning, within same day my offer was submitted but my agent found out the property opened escrow in the morning. They did not indicate to my agent that property was going to open escrow or inform of any offer.  The place was listed by Redf1n (censoring the name).

Wouldn't have bothered. Offer still out there, set to expiring in the next day.

Is this normal?
They probably figure they may as well get your offer in case escrow falls through

I never change the status of a listing until the deposit is in escrow. With my experience, the majority of cancellations happen before the deposit is made.

Is the seller obligated or out of courtesy to tell the visiting buyer that "escrow is going to open in the morning, but feel free to check out the place"?

I'm aware of instances with people still visiting properties with full knowledge that it has opened escrow. However, I stepped onto the property with no knowledge.

There's no rule that the listing agent inform a buyer or buyer's agent voluntarily that they accepted an offer and are opening escrow.  However, if a buyer or buyer's agent asks if the home is still available to make an offer the listing should tell them that they have an accepted offer but that the deposit has not been received yet (there's no rule that they have to but it's common professional courtesy to do so). 
Martin Mania, CPA
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Offline Soylent Green Is People

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Re: First Time Second Home Buyer - Advice
« Reply #88 on: September 19, 2021, 07:33:33 AM »
If an offer is sent and accompanied with a check from the Buyer for the Earnest Money Deposit, if I'm not mistaken isn't there a limited time the Selling Realtor has to cash the check into their brokers account?
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Re: First Time Second Home Buyer - Advice
« Reply #89 on: September 19, 2021, 09:50:40 AM »
If an offer is sent and accompanied with a check from the Buyer for the Earnest Money Deposit, if I'm not mistaken isn't there a limited time the Selling Realtor has to cash the check into their brokers account?

There's no more checks, 98% of all earnest money deposits now are make via wire transfer by the buyer.  Maybe some old school reatlors get checks from their buyers but I've only seen a copy of those EMD checks a few times in about 15 years.
Martin Mania, CPA
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mmania001@yahoo.com
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Often imitated....Never duplicated!
Have license, will travel!

 

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