Biggest RE lessons learned/mistakes made

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Do NOT let sellers stay in the house after closing. We were buying our first house & the sellers insisted they had to close by the end of the year due to tax purposes but claimed they would "definitely be out" after New Year's, the first week in Jan. We had an apt until end of Jan, so we said ok. BIG, EXPENSIVE mistake. By MARCH they were still not out, landlord rented our apt. March 1. We had to put our stuff in storage, live with parents and threaten to have them thrown out of our house. they paid us a nominal amount, so we were paying a lot for our mortgage and storage, plus we had to pay 2 moving costs. And a ton of aggravation.

This story is interesting to me. When I took Real Estate in law school, the prof was adamant that you should never do a lease back after sale. Particularly in jurisdictions (like DC) that have strong tenant protections. But you'll find that people on this web site wills say that's ridiculous, everyone does it, etc etc. I think it works out most of the time, but when it doesn't, it can be a major pain.

Just to clarify: It is not a lease but a post settlement occupancy agreement and the seller Has possession of the property at the sufferance of the new owner. The seller has no tenant landlord protections, particularly good in DC because of TOPA. The buyer above should have moved immediately to force the seller from the house. That said I agree that these types of agreement are to be avoided

I think the exact legal status varies by jurisdiction. Do you know anyone who has actually had to force someone out in DC? Based on what I know about DC landlord/tenant law, I'd want to know that there is lots of precedent for that interpretation. Plus, I'm not sure what you mean by "move immediately." If the former owner won't vacate, you just move in on top of them? That sounds like a recipe for trouble.

[Anonymous]

Don't buy a house where the bordering neighbor planted bamboo.

Just walk away.

[Anonymous]

Buy a home warranty. Home warranty companies all suck. They make it tough for you to collect but still worth it. One house that I bought the entire HVAC system had to be replaced- not long after closing. I paid like $500 for my part (plus $400 home warranty) instead of like $8000.

Watch out for DIY houses and water problems.

Shop around for a mortgage.

Realtors suck.

[Anonymous]

Anonymous wrote:Don't buy a house where the bordering neighbor planted bamboo.

Just walk away.

Oh good! The crazy is back!

Yes, def pay attention to who (not what) is next door, OP. LOL.

[Anonymous]

Anonymous wrote:Buy a home warranty. Home warranty companies all suck. They make it tough for you to collect but still worth it. One house that I bought the entire HVAC system had to be replaced- not long after closing. I paid like $500 for my part (plus $400 home warranty) instead of like $8000.

Watch out for DIY houses and water problems.

Shop around for a mortgage.

Realtors suck.

+1

RUN from DIY work in houses. Just run.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Do not trust realtors. Even if you've done extreme due diligence, interviewed a few, and picked one that comes with great referrals from people you know. Just don't trust them. They are playing with your money, and their incentive is much more to push you fast and to either bid high (if you're a buyer) or accept a low offer (if you're a seller). Get their input, but verify it is what is actually best for you.

Read the chapter in Freakonomics about realtors if you want proof.

My neighbor, a realtor, pretended to be a friend for 8 years while I lived in the house. I figured I would use him to sell when ready.

After I signed the paperwork, he began pushing for selling to the latest/lowest bidder. Day of closing, he somehow altered the contract to include some additional BS fees. I called him out on it, his face turned red, and everyone around the table was disappointed in him. terrible experience.


After the house sold, both him and his wife gave me the cold shoulder as if we are now strangers. what a long con he played.

+1

Thank you fro bringing this up. This is a very common problem. NEVER hire a "friend" or neighbor as your realtor. Ever.

[Anonymous]

Agree that you should avoid the bamboo problem next door. It will only get worse. And the neighbor has no incentive to contain the bamboo. So I guess I'm crazy also.

[Anonymous]

Anonymous wrote:I am on my fifth house in the D.C. Area. My advise is never pay full price for a realtor. Pay 1% for selling agent and 2.5% for buyers agent . If you are buying make sure you get cash back from your realtor. When a realtor does open house they do it more for marketing themselves .

With sites like Zillow and Redfin realtors are irrelevant.

This.

[Anonymous]

If you don't like the "feel" of a neighborhood, that is a perfectly good reason to reject it, even if it fits all of your other criteria. You are going to live in this place, so you should feel good about it!

[Anonymous]

If you are doing a big project hire an inspector to check work at certain points, like before drywall goes up. A good independent inspector is your and your houses BFF.

[Anonymous]

Budget 1% at least of the home price for annual upkeep. This includes stuff like roof, AC but also decor, painting, etc

[Anonymous]

Anonymous wrote:

Anonymous wrote:Don't buy a house where the bordering neighbor planted bamboo.

Just walk away.

Oh good! The crazy is back!

Yes, def pay attention to who (not what) is next door, OP. LOL.

Not the PP but bamboo attracts mosquitos

[Anonymous]

Anonymous wrote:If you are doing a big project hire an inspector to check work at certain points, like before drywall goes up. A good independent inspector is your and your houses BFF.

Ditto if you are buying a new construction house, particularly a tract house

[Anonymous]

Don't buy a house near any kind of water, even small tiny creeks. I did, and that creek turned into a lake that completely flooded my house to the roof. Now I live on a house on a hill far away from any water. Never again.

[Anonymous]

Do not buy a house in a zone where the schools are poorly ranked! I don't care how big and beautiful the house is. I have had friends do this and defend the decision by saying their kids will just go private or home school. But then once their kids are school age they regret it and have a hard
time selling their house for a profit when they decide to move.