Buying a Home I am Renting

Asked by Punda Smith, Cherry Hill, NJ Sun Oct 7, 2012

Hello, I am renting a house in the Chanticleer area, and wants to buy it within the next seven months. The owner is interested in selling.
1. Would it be advisable to get my own agent" ? Does the owner need her own agent? What other things should be wary off when I am dealing with the owner without the agent?
2. As a renter, I believe I have some advantages, in terms of convenience, and ability to judge the house since I have lived there. But what are some possible disadvantages that I should be wary off? For example, can I insist on getting some repairs done before a sale is concluded? Any others?
3. What are some sources for current home values?
4. Is Chanticleer condos approved for FHA loans?

thx, PS

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10
Andrew Tisel…, Agent, clifton, NJ
Sun Oct 7, 2012
Dan
hit all the points on the head
the advantage of having your agent write contract is attorney fee will be less.
1 vote
Dan Tabit, Agent, Issaquah, WA
Sun Oct 7, 2012
Punda,
I would recommend that you get an agent to assist you. As part of the process, they should make you fully aware of other homes you could consider in the same price range. I realize the convenience of buying the home you are already in is huge, but don't overpay for the convenience.
Your agent can advise you on price, assist with contracts and inspections. An inspection should be done prior to your final commitment so you know what you are buying. If there are surprises, now is the time to find out.
If you do purchase the home you are in, there are ways to work out the commission so that everything is handled fairly. Talk to some local agents to see how they suggest you proceed.
1 vote
Punda Smith, Home Buyer, Cherry Hill, NJ
Fri Oct 19, 2012
thanks to all of you for your insightful answers. I will keep them in mind as I consider my options.
0 votes
Andrew Binow…, Agent, Myrtle Beach, SC
Thu Oct 18, 2012
Punda,

These are all good questions and I am sure you will get answers all over the map... naturally I feel that my advise has it's advantages.

Firstly, I would talk to a mortgage broker and see if you are qualified for a loan to buy the home...
If you qualify then look at a few homes in the community comparable in price to this home. If you are satisfied that this is the area and home you want then proceed to the next step. There is nothing worse than buying a home and then finding out you did not do your due diligence.

There is no need to raise the transaction cost for the buyer and seller in this instance since the seller does not need to market the home to the public since you have already found the home that he would like to sell. Instead of both the buyer and seller having agents, ask the seller if they will split the cost of a transaction broker (handles the paperwork and shepards the deal to closing). Interview a few brokers for the task and settle on a fee arrangement for the brokers services. The transaction broker will answer all your questions and put your offer in writing, which will then be submitted to the seller for an approval or counteroffer.

Hope that helps.. don't hesitate to reach out with any questions you may have!
0 votes
Divya Lodaya, Agent, Philadelphia, PA
Sun Oct 14, 2012
Hello Punda. As a realtor I would like to let you know since you are already renting the place you want to buy so you know the property doesn't mean you will have smooth process because lots of things are involved like Wise home inspection, negotiation on price and finding a right mortgage loan. I am a local experience agent that can help you start to end but with fee. Either you need to pay or seller pay. Let me know so I can help


Divya Lodaya
Gadenstate Properties
Cherry Hill Nj 08002
856-665-1234 x 46
0 votes
Divya Lodaya, Agent, Philadelphia, PA
Sun Oct 14, 2012
Hello Punda. As realtor I would like to let know since you already renting the place you want to buy so you know property doesn't mean you will have smooth process since there is so much involve like Wise home inspection, negotiation on price and finding a right mortgage loan. I am a local experience agent that can help you start to end but with fee. Either you need to pay or seller pay. Let me know so I can help


Divya Lodaya
Gadenstate Properties
Cherry Hill Nj 08002
856-665-1234 x 46
0 votes
R. Eric Axel…, Agent, Sewell, NJ
Mon Oct 8, 2012
Hi Punda, all my colleagues gave great answers. I recently put a "FSBO" under contract. I pretty much insisted that the Seller use an attorney to make things go more professionally. I represents the Buyers and the Seller honored my fee.

A Buyer's agent can help you coordinate negotiation/offer, deposits, inspections, and to all around make sure your best interests are protected. You can buy earlier if the Seller agrees.

Let us know how you make out.

Eric Axelson, Associate Broker
Licensed in NJ and PA
Kurfiss Sotheby's International Realty
South Jersey | Philadelphia
856.617.1212
axelson@kurfiss.com
Web Reference:  http://kurfiss.com
0 votes
Elisa Dewees, Agent, Cherry Hill, NJ
Sun Oct 7, 2012
I live in Cherry Hill not too far from Chanticleer. I would advise checking with your lender to find out if the section you live in is FHA approved (each section: Hill Houses, Domain, High Meadow, etc. follow separate guidelines). FHA approval depends on the number of rented units in the section, how many residents are behind in their condo fees, etc.

No matter what you decide to do: make sure you are aware of all recent sales that are like the home you are in. You can utilize some of the online public resources for sold sales but you should have an appraisal done. Even though you reside in the home, you should still have a home inspection performed to identify defects covered in a contract for sale.

A Buyers' agent can most certainly assist you in the sale but the Owner has to agree to pay the commission or you would be responsible for paying a Realtor.

Hope this helps you in your decision!
0 votes
Janet Larsen, Agent, Turnersville, NJ
Sun Oct 7, 2012
You can certainly use a realtor of you choose. The process is the same as if you never occupied it and you may do a home inspection, termite and certainly title insurance and survey. If you need assistance with this and choosing the right mortgage lender I'd be happy to assist or you can contact a real estate attorney
0 votes
Alain Picard, Agent, Puyallup, WA
Sun Oct 7, 2012
I would definitely suggest that you and the current owner use your own Real Estate agents. There is just so much that is involved with the purchase of a home it is almost always a good idea to have the expertise of an agent to help with the sale. I hear it all the time when a seller and buyer do this on their own someone ends up not being happy with the results in the end.
0 votes
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