I’m really confused and need advice.I’m selling a house in Phoenix AZ. The buyer is getting an FHA loan to buy it.Apparently the lender will not approve anything above what a market appraisal says the house is worth.The first appraisal done came in at $66K. They also said I needed to install an AC unit, install a dishwashing machine and fix some damage to the side of a wall outside for the loan approval.Then the agent (the seller agent) who was representing me quit due to personal problems. I have now been left to try and close the sale myself.I should mention I’m a 25 year old female residing in Australia who knows very little about the ins and outs of real estate sales.Now I’ve been told a second appraisal has been done and the market appraisal states the house is worth $60K. So the price dropped from $66K to $60K and I still am required to fix the above said repairs.I’m not sure if I’m being taken for a ride and I’m really not sure what to do. I am pretty keen to sell the house as it’s just a burden to me.Can anyone please help with advice?
Hi, we’re moving to Phoenix in April but have numbers of contacts over there and could put you onto some realtor friends of ours. Private Post me if you’d like us to make contact on your behalf.
Labradore
I think I can shed some light on this.
1. when you in the US to someone using FHA financing the following is what happens
Since the US government EG the FHA is guranteeing the loan the house must meet minimum standards. If you paid cash for the house as an unsuspecting investor too bad.. And for sure will not approve a loan above value.. this is whats killing the US market, you buy for cash and think you get a great deal but there are plently of other houses that sell for the same or less. Appraisers pick up these sales and your stuck… happens to all of us.
You will need to fix these items for the Appraiser to sign off on the apprasial.. If you do not wish to fix these items then you need to sell to another cash investor. Which is probably another off shore investor who does not know values.
Its a moot point that your realtor quit on you.. plenty of realtors in the world…..
Who sold you this in the first place and how does a 25 year old get into a positon to be where you are… 99% of 25 year olds in the states could never buy a home…. UNLESS they are in the BAY AREA and work for Google and facebook and if so they are looking at 2 million dollar properties
labradorinlove wrote:I’m really confused and need advice.I’m selling a house in Phoenix AZ. The buyer is getting an FHA loan to buy it.Apparently the lender will not approve anything above what a market appraisal says the house is worth.The first appraisal done came in at $66K. They also said I needed to install an AC unit, install a dishwashing machine and fix some damage to the side of a wall outside for the loan approval.Then the agent (the seller agent) who was representing me quit due to personal problems. I have now been left to try and close the sale myself.I should mention I’m a 25 year old female residing in Australia who knows very little about the ins and outs of real estate sales.Now I’ve been told a second appraisal has been done and the market appraisal states the house is worth $60K. So the price dropped from $66K to $60K and I still am required to fix the above said repairs.I’m not sure if I’m being taken for a ride and I’m really not sure what to do. I am pretty keen to sell the house as it’s just a burden to me.Can anyone please help with advice?I was going to recommend you Speak with Jay Hinrichs he is more well versed in many markets then most of us American real estate guys. He is on this board and be good one to see if he can help you.
Sincerely
AlexI would be interested in your property, PM with the details
"Who sold you this in the first place and how does a 25 year old get into a positon to be where you are… 99% of 25 year olds in the states could never buy a home…. UNLESS they are in the BAY AREA and work for Google and facebook and if so they are looking at 2 million dollar properties"
Priceless
) I'm also curious, how'd you get to this position?Ziv Nakajima-Magen | Nippon Tradings International (NTI)
http://www.nippontradings.com
Email Me | Phone MeZiv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property
zmagen wrote:"Who sold you this in the first place and how does a 25 year old get into a positon to be where you are… 99% of 25 year olds in the states could never buy a home…. UNLESS they are in the BAY AREA and work for Google and facebook and if so they are looking at 2 million dollar properties"Priceless
) I'm also curious, how'd you get to this position?I owned 8 properties by the age of 23. I neither work for google of facebook or have rich parents. I have been working since I was 12 and I'm both a hard worker and a smart worker.
Sorry, la, didn't mean it in a bad way – I was more wondering how you got to purchasing this particular property, and based on what research/data?
Ziv Nakajima-Magen | Nippon Tradings International (NTI)
http://www.nippontradings.com
Email Me | Phone MeZiv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property
I owned 8 properties by the age of 23. I neither work for google of facebook or have rich parents. I have been working since I was 12 and I'm both a hard worker and a smart worker.
Just not a smart investor………………….
Is everyone just jealous because Labradorinlove owned 8 properties before she was 23?
Sounds like you are doing really well to me! This Jay Hinrichs might be the person to talk to, there are not many people on this forum who know the ns and outs of USA property (apart from the peolpe trying to sell their services of course!). There was also a guy on here who went by the name of speedygonzales (I think!!) who sounds like he is doing well for himself investing in Texas, maybe you could give him a PM and he might be able to help.
cgheers,
LukeI think I answered this one a while back. and Kudo’s to any 25 year old that has done that well in the RE bizz.
FHA is a little to no money down program and the repairs if called out by FHA appraisal need to be done by someone.
JLH
Ahhhh yep, sorry Jay I didn't realise that you had posted that earlier reply, I thought it was from someone else.
no worries mate I will just go throw another shrimp on the barbie…
Actually doing ribs here at my kids house in Vegas tonight yummo
Another shrimp on the barbie? Does anyone do that anymore?
I had prawns a few nights ago, but they were with a white wine and cream sauce………
Hope you enjoy those ribs!!
unfortunately i had a flare up and they are a little crispy but I saved most of them, got the corn and pineapple going now.
Burning ribs in BBQ country is a sin
Time change next week! I can't wait to start grilling more.
Labrador- still very curious to know how you got to this deal, if you feel like sharing?
Ziv Nakajima-Magen | Nippon Tradings International (NTI)
http://www.nippontradings.com
Email Me | Phone MeZiv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property
zmagen can you clarify what you want to know? I saw 3 properties for sale for a cheap price that were built in 2008. They were originally built as model homes. It seemed like a good deal so I purchased the 3 houses.
I’m wondering where you saw them advertised, for how much, and how you researched the area for value and potential- also how you got the house appraised yourself (if you did)?
Ziv Nakajima-Magen | Nippon Tradings International (NTI)
http://www.nippontradings.com
Email Me | Phone MeZiv Nakajima-Magen - Partner & Executive Manager, Asia-Pacific @ NTI - Japan Real-Estate Investment Property
Copied from another post……
I am an Australian woman who bought a few investment properties in the USA- Phoenix, Orlando and Las Vegas.
I bought a 3 bedroom modern house in Phoenix AZ for $55,000. I employed a tradesman to do a few general repairs on the house. He then recommended I buy 3 foreclosure properties in the same area in Phoenix. He said he could do all the repairs for $12,000 and they would rent for $1200-$1400 each. I bought the properties for about $122,000 and paid him an initial sum of $6000 to purchase material. Over the course of several months I continuously relented to his requests for more money as he claimed the repairs were more serious than first imagined. He told me that the properties had been broken into and had various house parts stolen and damaged. I paid close to $20,000 altogether and made continual requests for receipts, invoices, proof of purchases and photos of work completed but he never provided any of these.
He then asked me if he could act as a property manager for the property 1st property I had bought, after there was a change of tenants. I agreed to pay him a monthly fee of $75 to look after all the maintenance issues with the property and make sure the tenant was happy. He was also paid $900 to tidy up the property before the new tenants moved in. Although this guy has no license to be a property manager in Phoenix, he went ahead and signed a lease between himself and the tenant in my property. Then I had a friend from Nevada who was visiting Phoenix personally inspect the properties to discover that basically no work had been done whatsoever.
The tenant at ended up moving out because all the maintenance issues the tradesman was supposed to fix were causing problems. For example I bought a brand new AC unit for the house which he was supposed to install but evidently didn’t have a clue what he was doing so he hooked it up and it cools but doesn’t heat.
The tradesman does have a registered business and owns a big house and has assets. I guess he was counting on the fact that I live in Australia and am far away. I did contact a few lawyers in Phoenix who said they would charge around between $5000-$8000 to pursue the matter. For that amount it doesn't even seem worthwhile as it could potentially be more money down the drain.
I have considered taking a 'holiday' to AZ to pursue the matter in court myself. I work from a computer so there would be no loss of income by having to travel abroad. Any advise about what I should do would be greatly appreciated.
) I'm also curious, how'd you get to this position?
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