|Interesting times from a house buying perspective
||[Feb. 10th, 2010|11:15 am]
So, my real estate agent knows a guy who can put on the new roof, with a support system that will create space for an eventual half-story on the house. Beautiful work, and putting it on will come in at just 14 grand, *including* the trusses.|
Who here can guess what's missing?
That's right - the cost of *removing the old roof*. And a permit, and additional this-n-that and so-forth. Total, out the door (technically, "on the house," I suppose) cost is 25 grand. Reasonable - really, honestly, reasonable - but not what we put into the initial offer.
I said that I thought a proper roofing job for this house was going to run about 20 grand (add in 5 grand for the space-creating trusses I wanted, and I was spot-on). But being right isn't a lot of comfort right now - we only have 25 grand to play with, and that also has to re-wire the house, and make a minor foundation repair.
Called the bank, sent e-mail, called my agent, and today, I'm meeting with a contractor and the structural engineer I hired.
We have two options.
First: No, it's not too late to modify the mortgage, or the offer - we can bake in the cost of some upgrades. If so, that's *great*. If you're going to spend money on a house, the time to do it is in the first mortgage, especially with mortgages hovering at 5%. I've decided I'm willing to go whole hog if necessary and the payments work out. I've got the numbers run through my head to know what I honestly can work with.
Second: yes, it's too late. We *can* re-roof, without the fancy trusses, and fix the electric. We can repair the foundation, it'll be a few (thousand) dollars more, but I have a big tax return this year. Everything still works, just not as neatly.
It's still working - but I have a contractor who has done a lot of work who I'm *really* hoping has good references so I can just hand this job over to him... he deserves it after getting jerked around a bit. And I have a real estate agent who is not my favorite person in the world right now.
A lesson: if you're buying a house that's old, and needs repair, take vacation around your inspection time frame, and use a local real estate agent so scheduling access is easy.