Im about to take the plunge

[Vass]

Just a quick comment on FHA- It's a great way to go, however, although the inspection those loans require is not nearly as bad as it used to be (if paint was peeling on the porch they'd force remediation before allowing the loan to go through, for example) I imagine if the house interior is in that state of disrepair (making it arguably not in move in condition) you might run into problems.

Just something to be aware of so you don't get yourself in a situation where you have to back out of a contract and get hit with a penalty due to failure to obtain financing. Make sure you build a contingency into anything you sign giving you the ability to walk away if the inspection comes out bad.

[atomic charvel guy]

Paint for pizza Rich? I'm ready. Good luck Gil, nice to hear you're in a good position.

[toejam]

Take the plunge? Thank god it's a house. I thought you were gonna do something stupid like get married! :ROTF:

[missionguitars1]

Well, the question is, can you get these fixes done for $20K or less if similar houses are selling for $30K - $40K more? And do you mind living amongst the construction (if you're married or have kids do NOT even think about this - ask me how I know! )...

I would not be in a hurry to buy though - there are a LOT of adjustable rate mortgages that that will be resetting over the next couple years and a LOT more people walking away from their places when their monthly payments jump from $800/ to $3000/mo.!

[JACKSONFREAK]

Well all the advice on the work etc.. Is a moot point as i didn;t get the house. It's a bank owned property and the bank doesnt want to take the necessary steps to make it FHA approved. So Im back to square one again. The loan i have is a fixed rate. I dont want no stinkin bend me over and rape me till i blead or take my house adjustable flippin morgage.
Also thanks for all the advice guys it's much appreciated. I will heed to the best of my ability.
Gil

[Rich#6]

Gil,
It sounds like to me that they was a lot more going on there they you know about. the home inspectors that you hire to check a house out are not that great and they don't find everything. The FHA inspectors have much more they have look at.
One they have to make sure that the house is worth what you are paying and second they will ask for things to be fixed before they sign off. My first mortgage in 98 was a FHA.
Gil this is what I went through when I sold my house in 2007, maybe you can use some of this to get a better deal for yourself. Remember this was at just the beginning of the real estate market crash.
I sold the house for 170,000 on paper but I got a lot less after I was done with what I spent.
Before a offer I painted the house, new tile in the kitchen, new carpet in the whole house, and I finished remodeling the bathroom. With the second contract( yes I lost one) they asked for a large list of stuff. some I said no but I did fix the garage door, new furnice, a new bedroom door and a new roof. The city inspector screwed me even more.grr. To top all that off I gave them 2% back at closing, so I basically gave them their down payment.
good luck and remember www.realtor.com is your friend.

[skorb]

I think unless the home is WAY under market value for the homes in the area I'd walk away. Its going to cost a good deal of money to make the inside right even if you do it yourself.

bingo.

there is a right price for a house in this shape, but it has to be severely discounted to account for the condition.

[skorb]

Well all the advice on the work etc.. Is a moot point as i didn;t get the house. It's a bank owned property and the bank doesnt want to take the necessary steps to make it FHA approved. So Im back to square one again. The loan i have is a fixed rate. I dont want no stinkin bend me over and rape me till i blead or take my house adjustable flippin morgage.
Also thanks for all the advice guys it's much appreciated. I will heed to the best of my ability.
Gil

just keep after it bro. there are soooo many deals to be had out there right now. law of large numbers, keep looking.