Offer 2 Countered, Rejected

As I somewhat expected, though was hoping would not happen, the sellers of the home we placed our second offer on countered our offer with a poor one. We briefly considered revising it, then decided to flat out reject it. I just don’t think they are actually trying to sell their home. They have had it listed several times since 2005, usually for short periods of time. In fact, just last year they had it listed for $259k, which means that even after Realtor fee’s, they would have walked away from our offer with more money than they listed the house for last year! I just don’t think their home appreciated $10,000 in the last year while everyone else’s home went down in value. They can keep it forever for all I care.

There are officially no other homes on the market right now that we are interested in. So will will keep saving our money and hoping more come on the market between now and summer.

Offer Number Two

After looking again at a home we previously viewed, we decided to go ahead and make an offer on it. The big drawback was the backyard, which appeared to be very small. We drove by the house Saturday and started wondering where the property lines really were. Our realtor emailed us aerial photo’s of the lot with the lines marked and we were very happy to see that the lot is MUCH larger than we originally thought. This makes a huge difference.

Again, we are a long way from home ownership, and while hopeful the current owner will accept our offer, we are doubtful that they will. I will write more in the blog very soon if they do in fact accept the offer, or counter with a reasonable deal. We still have to get past FHA appraisal, which from what we understand can be very difficult.

We Made an Offer!

Tonight, Missy and I made an offer on a home I previously blogged about. We met with our realtor, Lee Mayrack, after work to look at one final home before making our choice. It was a nice home, and $50,000 cheaper, but just does not compare with the home we are hoping to get. They have until Sunday to accept, reject, or counter our offer. We are excited, but reserved, and I have to keep reminding everyone that we are FAR from done with this process, and this home, nice as it is, may not be the one we ultimately purchase.

Could It Be? A Mortgage? Just Maybe…

While I am/was on the verge of giving up on getting a mortgage in this day and age, a letter arrived today from RLCA congratulating Missy and me on our mortgage approval. I had contacted them last week, and called my broker today to verify what the letter said. He needed additional information, which I quickly gathered and sent via email to him. It appears that all is well, we really have been pre-approved for a mortgage, and it is enough money to purchase any of the homes we have looked at so far! I am trying to temper my excitement and hope with the reality that this is not yet a done deal, but I am excited.

The Perfect Home?

Tonight we looked at what we all agreed was the nicest home we have seen so far, one that we all really liked. Of course it was also the most expensive at nearly $300,000. It is a 4 bedroom ranch with a ton of small things that really makes it a great house. The basement is newly finished and was one the standout features. They built the 4th bedroom down there, a small office that would be perfect for me, a large family room, and a bar. A real nice bar. There is a storage/workshop area as well, all nicely done.

The only problem is the paint. I have never seen such a bad paint job in my life. The homeowners did it themselves, and I really have no idea why they were in such a hurry. We would have to repaint everything upstairs, but the downstairs looked a bit nicer. They also have the same POS Frigidaire dishwasher that we have now, which is so loud we only run it when we are not in the room, or even in the house.

The backyard is fairly large and backs up to another of Cross Plains’ ridges, this time with huge rocks placed there by glaciers thousands of years ago. We could easily live in this house, it was great, after several weekends spent repainting. Their dog had torn some holes in the carpet upstairs, this would have to be replaced.

The biggest problem right now is getting financed. I got a nice 57 point boost in my credit score today, but apparently only with Experian. I talked to one of Century 21’s mortgage guys and he pulled the credit himself. The score he got was lower than any of the scores we get through FreeCreditReport.com, much lower. Makes me wonder what I am paying for if the scores other people get are so much lower than what I get. I have a meeting with him tomorrow to discuss this, and am going armed with tons of documentation to prove that there is still a lot of incorrect information in our credit records. I am afraid I will have to get an attorney involved to clear some of this stuff up, I am at wits end.

The other problem is they are having an open house this weekend. As much as we loved this home, it is not likely to happen. Even our trip next week to visit family for Easter is in jeapordy, and probably will not happen (sorry dad). We are so focused on getting a home that we are just not allowing ourselves to spend the extra money. I am close to saying “Screw It” and just putting an end to the house hunt until next year. Between George Bush, the economy, credit crisis and God knows what else, the perfect time to buy a house may not be an option because the damn banks won’t loan any money, unless you don’t need it.

Looking at Our First FSBO

After work tonight we looked at our first FSBO (For Sale By Owner) home, just a couple of blocks from where we currently rent. We met a very nice younger couple with a young son and newborn daughter. They have lived in the home about a year, but are relocating back to their native Michigan. It was somewhat odd having the homeowner show the home instead of a realtor, but they were a real nice couple.

The house is a very nice 3 bedroom, 2.5 bath ranch with a huge unfinished basement. The builder did not cut corners here either, the woodwork and nickel fixtures are very nice, as are the cabinets in the kitchen. The home has new stainless steel appliances and a gas fireplace, and a family room that would be perfect for us, including a great place for a LCD TV. The 2 smaller bedrooms are small, but have a unique way of sharing a very nice bathroom between them. The master is medium size, but large enough, and has a great bathroom with a large jacuzzi, separate shower and double sink. A walk-in closet is accessed from the bathroom, which I like.

The basement is unfinished and huge, with rough-in plumbing for a bathroom and over sized hot water heater, to help support the jacuzzi tub in the master bedroom. I really like the quality of construction in this home, and this extended to the basement. A lot of thought was put into eventually finishing the basement, and it would be a great slate to work from.

Despite only having 3 bedrooms upstairs (the girls would really like 4), this was my favorite house so far. Ranch homes always appeal more to me than 2-stories, and this one was very nice. They are asking $278,000 and said the taxes are about $4500 per year, which means the appraised tax value must be around $225,000. I wish I knew how much they are really hoping to get for it. If this home could realistically be had for $250,000 it would be hard to turn down. Missy liked the home, but not as much as me, so this will likely be a battle not worth waging.

I’d love to know where our kids get their sense of entitlement, especially when it comes to everyone having their own room on the same floor as the master, and every room meeting some size criteria. Growing up, my room was about half the size of these and I never minded, hell, I never noticed. Don’t worry, Missy doesn’t read this blog anyway 🙂

We Look at the Second, Third and Fourth Homes

After work tonight we looked at 3 homes for sale in Cross Plains. The first one, and the one we liked the most, is pictured. It sort of stands out in the neighborhood, it is light green with tan and maroon trim, and rocks. It is a 3 bedroom home with a nicely finished basement that includes an office area.

Upstairs is a more formal living room with a wood-burning fireplace, and no good place to put a large LCD TV. It is open and very pretty though, but the entertainment area would definately be downstairs. The kitchen and dining room is very nice, with good quality cabinets and very attractive brushed aluminum fixtures.

There is a lot of very nice woodwork inside this home, they did not go cheap here. We were concerned about the small size of the bedrooms, as listed on the Internet. To our surprise, the rooms were plenty large and the master was very nice. None of the homes we looked at had great bathrooms, but none were really bad.

The other two homes we looked at we ruled out completely. The second one, on Tilda Trail was actually a nice place, but had no backyard at all, at least none that would make the dogs happy. The view was nice, backing up to DNR land and steep hills.

The last home was on American Legion drive, and we all agreed that it sucked. It looks like rental property. The quality of materials was poor, it was too small, and just a bit ugly. It did have a few nice things, but the bad far outweighs the good.

The first home is quite nice, but is only $15,000 less than the 4 bedroom home across the street, and that home has 600 more square feet. We are going to look at it Thursday evening, and tomorrow evening are looking at a FSBO home on Lewis Street.

We Look at the First House

Ok, so Missy and I are looking to purchase our first home. I have owned 4 homes in the past, she has not, and this is our first home together with the merged family. We are getting our credit and finances in order, hoping to be able to move in sometime during the summer. We really liked a house on the south side of Cross Plains, and contacted the realtor that has the home listed, Heidi Uhrig with Glass Slipper Homes, part of Keller-Williams. She informed me that the house was sold, something we expected.

I told her about what type of home we were looking for, a 3-4 bedroom ranch style, 2-3 bathrooms, a place for an office either in a finished basement, or unfinished one where I could build an office. We need a 2-3 car garage, good size living room and master bedroom, and do not want an old 60’s or 70’s style home, nothing ugly. There are a lot of ugly houses in Cross Plains, mixed with a lot of newer nice looking homes.

I told her about another house Missy and I had been looking at. It was built in 1978, but instead of looking old and outdated from the outside, has more of a rustic country look that we liked. It also has a small greenhouse added onto the front, a great place to put a hot tub. The seller is asking $219,000, a price point that is hard to find in Cross Plains, where most (decent) homes now sell in the upper $200’s. We looked at the home last night, and due to circumstances out of our control, had to take all 3 girls with us. I will never do this again!

From the outside, we really liked the house. Good size 2-car garage and a nice deck on the back. The exterior is mostly wood, which I like, and the landscaping was very well done with multiple tiers of large rocks in the front and back. Of course it was all snow-covered, but you could tell it was tasteful and well done.

Inside we were impressed by the slate entry foyer, which was small but functional. You have to go up or down when you walk in, we went upstairs first. The first things I noticed were that the handle on storm door was damaged and needed replaced, a very large window above the foyer which was very nice, and a light hanging from the high ceiling (since 1978) that would have to be changed.

The kitchen has been recently remodeled and was very nice, with the exception of the wallpaper. I hate wallpaper. The appliances were newer and black, and all looked very nice, except the old white refrigerator looked out of place and would need to be replaced. The floor seemed somewhat warped, but only a little and only in one place. Another project probably. A large cutting board island thingy in the middle of the kitchen was nice, but the pot-holder hanging above it would have to go. I sort of liked it, Missy didn’t. I liked it, other than a large shiny bolt holding it from the ceiling, it just didn’t look quite finished.

Off the kitchen was a “sewing room”, which also contained the washer and dryer. It was small, but nice, though I did notice the built in desks were just barely attached to the wall, another project for me.

The dining room was separate from the kitchen, and would require walking everything around a wall to set the table. I didn’t mind this, but Missy did, and we started talking about knocking out a section of wall between the two and creating a bar area, with a pass-through between the kitchen and dining room. Same for the wall between the family and dining rooms. A fairly large project, but one that I could handle. The dining room itself was small, but fine for our family of 5. Entertaining more guests would be tight, and the only entrance to the deck was through the dining room, which means the dogs would have to walk through there to go outside.

The upstairs family room was long, but narrow. It has a nice wood-burning fireplace with a separate nook for storing wood. The bricks were more of a blond style, but looked nice. Woodwork above the brick was tasteful and nice. Our current couch, a large leather L-Shaped sectional would not fit in there, and finding a good place for a LCD TV would be a little tough, but there is room. As a major project down the road, I thought about extending that room out the back about 15′. I could not do this myself, this would have to be contracted, and from watching HGTV a little too much for a straight guy, I am guessing 20 grand for that.

The master bedroom is on the main level and is very large and nice, with a half-wall separating the sleeping area and reading area. Two small, cheap, old brass lights were mounted low on either side of the bed. Another project to nix those, but not a big deal, especially since I could use the existing wiring to add much needed electrical outlets. A day project. The master bathroom was small, but usable, and appeared to have new shower doors. This could be enlarged by losing the smaller of the two closets in the master, but would be quite a job. I could do it myself, but more than a weekend for sure. There is a very nice walk-in closet in the master bedroom, and the view out the back of the ridge through very large windows is terrific.

Going downstairs seems to be the killer. There are 3 bedrooms down there, and a small living room that leads to the glass-enclosed greenhouse. All 3 rooms are very small, and the wallpaper, paint and (green) carpet are hopelessly out of date. The girls did not like the idea of having their bedrooms downstairs while Missy and I slept upstairs. I would tell them to “grow a pair”, but they are girls 🙂

The greenhouse is a very nice addition, though we would likely put a hot tub in there, though that would be a job in itself. I would need a bunch of guys and beer to get that one done. On the plus side, because it was intended to be a greenhouse, it has water and electricity already there, and even has electric-hydraulic overhead window openers. Very nice.

The basement would be a major project, but one that I could do. It would be a complete “do-over”. I would tear down all interior walls and rebuild using much of the existing hardware. All 3 bedrooms would be enlarged significantly, at the expense of the living room and wasted space at the bottom of the stairs. What is now the living room would be gone, and I would add a small home office for myself. The entrance to the hot tub room would be at the bottom of the stairs, as would the door to my small office. I think I could pull this off in about a month of weekends, and maybe a week of vacation. Then I would need a vacation 🙂

The garage is large, with lots of room. It is finished, but just barely. It would take some paint and TLC to make it look nice, but had no major cracks in the concrete or anything like that. After all, this is a garage! Off the garage is a storage room that contains the AC and heat unit, water softener and Aprilaire machine, which is nice. Off that room is another room for cold (emphasis on COLD) storage or wine, again, I like this.

The driveway needs work. Several holes and deep cracks would need repaired and the entire driveway resealed. A day project that I could easily handle.

The house’s list price is $219,000. I could see, at most, $180,000 considering the amount of work we would have to do. On the plus side, once this work is complete, I believe the house would be worth much more. The lot is large and well landscaped, and backs up to one of the many ridges in Cross Plains that is full of old-growth tree’s and abundant wildlife. I could shoot the damn deer from the comfort of my bed 🙂

If it were up to me, I would probably make an offer on this house, saving the $100,000 difference between this and the newer home (most of which are smaller and not on such nice lots) a

nd investing a little (ok, maybe more than a little) money and a lot of sweat-equity into making this house a lot nicer. It would take about a year, but this could be a real nice home.

But it’s not up to me. I got married last July 🙂

(Re)Building the American Dream

When Missy and I got married in July 2007, we formed very specific goals and milestones for achieving those goals. They are not far-fetched, pie in the sky type daydreaming, just a simple plan for achieving the American Dream.

1) We needed a better family car. When we got married, Missy had 1 daughter and I had 2. She drove a Toyota RAV-4 that we called the “Go Cart” because of its size, and I had a Pontiac Grand Turd, err Am. These cars were fine for us at the time, but our new family of 5 could not go anywhere together. Within 2 weeks of getting married, my Grand Am was gone, replaced with a shiny new Ford Explorer. Problem solved, we no longer needed to borrow my ex-wife’s minivan to take the family on trips, we just have to add gas every time the damn thing passes a gas station.

2) We needed a truck. I had a great Dodge Dakota truck that was destroyed in the Stoughton tornado way back in August 2005. I had to buy the Pontiac Grand Turd, err Am quickly because of that, I need a car quickly, and the Pontiac was available for the right price. My needs for a vehicle are not that high, I sort of prefer crappy old trucks, but did not want a POS. We traded the RAV-4 for a 2001 Ford F150 at Suburban Wheels of Madison. Problem solved. Actually 2 problems solved, I will never own a non-American made vehicle, but that is for another post.

3) We have to pay off our credit cards! Ok, they were my credit cards, but still they had to be paid off. The balance was over $11k and they were maxed out following the wedding and honeymoon in Mexico. I set up a plan and we did this in less than 5 months.

4) We pulled our credit reports from the 3 major companies, Experian, TransUnion and EquiFax. There was some old stuff we didn’t even know about, things we had to take care of to get our credit scores up. Nothing too major, but combined was several thousand dollars we had to pay. We paid it.

5) We need a house. Before I was married, or even seriously dating Missy, I rented a 2 bedroom duplex. It’s a real nice place, for a single guy or small family, but 5 of us is really pushing it. All 3 girls have to share a bedroom which means the kids room has a bunk bed and a regular bed in it, sort of cramped when you add the other stuff in there too. The single car garage is great for Missy, but I have to scrape snow and ice off my truck whenever I want to drive somewhere. The basement is unusable because it is filled with the leftover stuff from merging two households, my kitplane cannot even be reached, so that project sits dormant. The house is cluttered because we have too many people and too much stuff in too small an area. My home office is in our bedroom, and I work about 80 hours a week, about half of that while Missy is trying to sleep. The 1987 IBM M keyboard I refuse to give up does not help any. Like I said, we need a house.