Home Buying in 78233>Question Details

Chris, Home Buyer in Live Oak, TX

I bid on a house in live oak for 115k, it was accepted and I am having second thoughts, a family friend

Asked by Chris, Live Oak, TX Tue May 27, 2008

wants to sell me his house in miller's point so that he doesn't have to file bankruptcy at 74k. I like Live oak and have been renting here for a while. I am a single mom of a 6yo. Can you give me any advice?

Help the community by answering this question:

Answers

8
I'm guessing that you made the mistake of not using a buyer's agent. Did you get an option period when you entered into the contract? If so, are you still within the option period? If not, you stand at least to loose your earnest money should you back out. An attorney is best qualified to advise you about your options.

You have received good advice form the others who replied. Think this through. If your friend is truly a friend, he will not want you to suffer any hardship on his behalf.
1 vote Thank Flag Link Tue May 27, 2008
Chris came in this late, but, has your friend considered putting the property up for a short sale? This may be his best way out, or if you are looking at this house as an investment, you may want to consider getting an appraisal (about $350) bucks to determine if you even want to get into this situation. Also, you may need to have a heart to heart with your friend to make sure there aren't any "oops I forgot to tell you about the additonal liens on the property", those tend to be "forgotten" in casual conversation. As far as the other house you have an accepted contract on, you may be out of luck with the earnest money if you didn't buy an option period. Hope this helps.
Web Reference: http://www.fabailey.com
0 votes Thank Flag Link Thu May 29, 2008
Chris,

Based on everything I've read here, I would definitely contact a real estate attorney to help answer your questions. I understand your concerns about the market and the future resale value of whichever home you choose, but no matter what anyone says, no one can predict the market, so if someone advises you that you'll "definitely" make money out of a property, be aware. You're in a tough position and I can understand your fears and concerns, which is why I (and others) think you should contact an attorney to help you through the process. Your real estate agent should be able to recommend someone to you and if not, ask here again and I'm sure someone could recommend several to you. Good luck with everything, house buying can be great, but can also be nerve wracking. My best advice is to think it through, but try not to psych yourself out, its easy to do with all the money involved and the emotions that get tied up in the purchase of a home. Definitely communicate with your Realtor any thoughts, concerns, or fears you may have and let them help you, that's what we're here for!
0 votes Thank Flag Link Tue May 27, 2008
You need to obtain the comp's for $74K determine the value, anyone in the state of Texas including a FSOB must follow the laws in order to sale a property, do anyone know anything about contracts, standard procedurese to follow the sale thru from start to finish. You need to get a realtor involved handle all the paperwork.

http://www.lynn911.com
0 votes Thank Flag Link Tue May 27, 2008
The friend doesnt live there and is actually battling a brain tumor. He has a friend handling the details for him who he said is a realtor. And yes there is a level of sympathy involved in this. Also a big reason to say no is that my parents live next door... so... lol. Anywho. The other contract has a cancelation period. I have contacted the realtor about it. I have to have an answer by tomorrow. To be honest, I was praying for an answer that I was making the right/wrong choice in purchasing the one in live oak and then this happens which validates my concerns. Mainly, the economy is crazy and I am worried about the resale value. I should have said more earlier. I have been trying to do research on property values but it's really hard to know for sure right now. I am trying to think which is a better investment. Ultimately, I won't live in the house forever so I want to know that I can make something off it in the end and I think the friend's may be a wonderful oppertunity. But, I don't know that his taxes are paid. I know that he owes 5months of rent and 68k on the loan. Thanks you guys, I appreciate the help. :)
0 votes Thank Flag Link Tue May 27, 2008
Chris,
Buying a home is emotional, so you need to guard your feelings. Your friend needs sympathy and help, but you cant put your lives on the line for your friend to that degree. If you genuinely love the home, then re-read the contract of your purchase and see if you have a way out such as an "option period" or a serious malfunction of a major component of the home. If not, you could loose your earnest money for "terminating " your contract or be sued to perform. Has your Realtor given you any advice?
I would be happy to talk to your friend to see about me purchasing it, if you dont. Your friend
has a serious problem. I have done some debt counseling through church and am willing to see if I could help in that area also.

Becky
0 votes Thank Flag Link Tue May 27, 2008
I'd have both a board certified real estate attorney and a realtor help you with this transaction. There are lots of details to consider that are much too broad for an email or blog. #1. Can you back out of the current transcation? #2. Lots of issues with buying a home from someone considering bankruptcy..... are they current on payments? Have the maintained the home well since they are short on funds? Have they been making preferenital payments to someone like the lender while avoiding others? Are the taxes paid up? Do they have someplace to go if you buy the house from them? Do not go at this alone.....make sure a professional is involved in the transaction to protect your interests.
Web Reference: http://www.teamlynn.com
0 votes Thank Flag Link Tue May 27, 2008
Bruce Lynn, Real Estate Pro in Coppell, TX
MVP'08
Contact
Chris,
There is a lot of information that I would need to know before advising you, but I can tell you that if you are in contract and did not use a Realtor, then you need to contact a real estate attorney.
Second thoughts in making the purchase of a home, are as common as breathing. So you are no different than anyone else.
It is too bad that your friend did not approach you before you purchased another home. I wish you the best in this situation.

Charles
0 votes Thank Flag Link Tue May 27, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer