Community Chat

[ivanatrump]

Due to your age you may not qualify for lower interest 30 year fixed rate mortgages.

Do not commit to this sale until you talk to a lawyer. There are many things to consider when buying a condo. Depending on the location fees can be higher than your mortgage payment.

[CelticCrafter]

The OP may have to pay the realtor herself as the condo was being sold by the previous owners without an agent, probably because they didn't want to pay a commission.

[JamicaJammer]

1) Get a real estate attorney.

2) I have zero confidence in a non-brick/mortar lender. Quicken can evaporate overnight, along with your money, etc.

3) 4% is no a bad rate, but what term?

4) Realtors get a percentage of the PRICE YOU PAY, so even if you 'hire' one, they'll not be working to lower the price for you.

[------]

On 7/9/2014 JamicaJammer said:

1) Get a real estate attorney.

2) I have zero confidence in a non-brick/mortar lender. Quicken can evaporate overnight, along with your money, etc.

3) 4% is no a bad rate, but what term?

4) Realtors get a percentage of the PRICE YOU PAY, so even if you 'hire' one, they'll not be working to lower the price for you.

I completely disagree with 4. I've always used realtors (purchased a number of properties) and always paid less than the asking price.

[croemer]

On 7/9/2014 ------ said:

On 7/9/2014 JamicaJammer said:

1) Get a real estate attorney.

2) I have zero confidence in a non-brick/mortar lender. Quicken can evaporate overnight, along with your money, etc.

3) 4% is no a bad rate, but what term?

4) Realtors get a percentage of the PRICE YOU PAY, so even if you 'hire' one, they'll not be working to lower the price for you.

I completely disagree with 4. I've always used realtors (purchased a number of properties) and always paid less than the asking price.

[Still Raining]

Whoa. The first thing to establish is the price. Has that been well researched? Have all the comps been looked at? How long are comps taking to sell? Does the building have lots of unsold inventory? Are there better deals nearby? How much will it cost to refurbish to your tastes? How does the life of common assets compare to reserves on the books?

Then, there is lots of good advice laid out here and you certainly do need to be professionally represented.

[croemer]

On 7/9/2014 Still Raining said:

Whoa. The first thing to establish is the price. Has that been well researched? Have all the comps been looked at? How long are comps taking to sell? Does the building have lots of unsold inventory? Are there better deals nearby? How much will it cost to refurbish to your tastes? How does the life of common assets compare to reserves on the books?

Then, there is lots of good advice laid out here and you certainly do need to be professionally represented.

This is the most...most important thing to know...big time!!

[------]

On 7/9/2014 croemer said:

On 7/9/2014 ------ said:

On 7/9/2014 JamicaJammer said:

1) Get a real estate attorney.

2) I have zero confidence in a non-brick/mortar lender. Quicken can evaporate overnight, along with your money, etc.

3) 4% is no a bad rate, but what term?

4) Realtors get a percentage of the PRICE YOU PAY, so even if you 'hire' one, they'll not be working to lower the price for you.

I completely disagree with 4. I've always used realtors (purchased a number of properties) and always paid less than the asking price.

Hi croemer!

[moonstone dunes]

I purchased a townhouse on my own. RE Inspection was required by the lender.

I had no attorney except for the RE attorney at closing. I trusted the RE agent and fell into a situation with HOA fees that tripled one month after the closing. Special Assesments due to mismanagement of the Association trustees. The previous bunch had used the reserves at their own discretion. I additionally got special assessments for repairs - one year for the roof - 24 unit complex. We all paid extra fees for the new roof and the assessment remained thereafter.

I would definitely get an attorney and definitely look at the HOA by-laws and most importantly their balance sheet. My HOA also had an attorney. In most condo complexes you own from the studs in so you need insurance for your space; the HOA covers the Master Policy so that is part of what you pay into.

You cannot select your neighbors, so keep this in mind before you commit. I moved in and had nice neighbors on each side, but then the properties changed hands. It's a lot easier to move when you rent. I finally sold because I suspected the next major repair to be the clapboards which were buckling and growing fungi on the north facing sections. So definately look at the exteriors, common areas. Even the building materials used.

[terrier3]

On 7/9/2014 AnikaBrodie said:

Hire your own attorney.

Insist on a home inspection before you sign on the dotted line.

Talk to your immediate family and seek their opinion and/or advice.

Find out what the HOA fees are before you buy. You don't want any surprises later.

I agree with all of the above.

If you hire an attorney who does a lot of real estate deals, he can steer you to a good home inspector.

DON'T SIGN ANYTHING until you have your own lawyer!

Depending on where you live, it can be tougher to buy a condo at good interest rates than a home. The lender will be inspecting the HOA to make sure they have all the proper funding in case of an emergency, enough insurance, etc. I bought my first condo on my own at age 55, in 2009, and it was tougher and longer than buying a home because there aren't that many condos in my city. Banks weren't even financing co-ops - I would have had to pay cash if I wanted to buy a co-op across the street from me! If there are a lot of condos in your area, it will be easier to get the lowest interest rate.

I had no problem getting a 30 year mortgage at age 55 and no penalty for my age (I think that is illegal too!). The bank cares a LOT more about your credit score, if you have enough money to keep up your payments and if the condo association you are buying into is also a good credit risk.

You need your own lawyer to represent you and your interests and deal with both the seller and the condo association.

I would check with other banks that are local as well. Chase is a huge bank, you may do better with a local community bank, especially if you are willing to set up a checking/savings account with them too. The bank basically just facilitates the loan - they will re-sell it to another entity pretty quickly...maybe several other financial institutions before the loan expires! In 5 years, my loan has been sold 2 times already.

Good luck - it will be worth the effort!