Ok ... Have to Eat My Words ... But Need Advice (square foot, investment, sale)

[sheri257]

Long story but ... would be interested in your input ...

We've been planning to get back to the California coast, specifically Monterey County. Not Monterey itself but, some very nice locations 30 miles away that are more affordable. Luckily, there's some great paying jobs for us right in that area ...

Prices are dropping like a rock so, we figured, rent for awhile then strike when the market hits bottom. All of this was great in theory ... HOWEVER ... as we were looking around to make sure that houses would at least be in our price range ...

We fell in love with this one neighborhood and, specifically, this one house. It's a short sale so, of course, I've read a lot of threads on this board about the short sale nightmares. So I'm not expecting anything but, I call the realtor just for the hellava it.

2200 square feet, built in 2006, on a cul de sac, two car garage (which we really need), larger lot than most ... a real backyard, single story (which we really like), GORGEOUS park next door ... I mean, really beautiful ... close to the interstate, only a 10 minute drive to work (which, of course is heaven in California) ... and great upgrades. This house is in really good shape.

They WERE asking for $350,000 for short sale (orginial purchase price two years ago was $550K) but the realtor says they had three bids ... two were for $300K, the other which the bank wanted and focused on was $350K but the financing fell through at the last minute.

So ... according to the realtor ... the whole thing is up for grabs. Just spent an hour on the phone with our lender and we definitely qualify for $300K which, for this house would be $137 per square foot. Comps (and there aren't many) are coming in at $175 per square foot, $180 for brand new houses ... so I'm hoping that most future price depreciation will already be priced in with our bid.

The realtor says now that the $350K bid fell through, and the other $300K bids disappeared since the buyers became impatient and/or bought other houses, he's convinced that the bank is now ready to take $300K.

So we're thinking about throwing out all of our previous plans and putting in a $300K bid for this house ... knowing, of course, that it's a total crap shoot and, even if we get it at this price ... we could be making a mistake if something better comes along ...

BUT ... this house kinda jumped right out at us ... it really would be perfect for us. Am I making a mistake ... should we wait anyway? I know that prices are going to continue to drop but ... I do love this house.

What do you think?

[Bette]

Follow your gut, your heart in this case. Sounds like a great buy. I look back at homes I should have bought but waited and waited - now, I realize I made a mistake.

Sounds like it's a smart buy and isn't that what its all about? And, that you love the home and it feels like its made for you.

Sometimes, the fit just seems right and you don't know why things are thrown at you. But it sounds right!!

Good Luck!

[sheri257]

Originally Posted by Bette

Follow your gut, your heart in this case. Sounds like a great buy. I look back at homes I should have bought but waited and waited - now, I realize I made a mistake.

That's the thing ...

Looking from the outside ... I'd be saying ... get a better deal !!! You KNOW prices are going to drop further ...

But I really didn't anticipate that GUT feeling ... and OMG, this neighborhood and particular area is, for lack of a better term, awesome.

Of course, the whole thing could fall apart since it's a short sale but ... luckily ... we DO qualify and have solid income, financing, etc. which, apparently is a commodity these days.

SO ... I'm also worried that waiting could cost us in other ways. We're not interested in buying cheap for cheap's sake ... so to speak. While we want to get a really great deal, at the same time, we are willing to pay for a house that we'd be really comfortable in.

[HsvMike]

It sounds like everything just lined up perfect with this home. If you want it, I'd say put your bid in at $300K and hope for the best.

[vincentnyc]

#1 mistake in buying a house. Don't fall in love with the house!

[Bette]

When my husband and I bought our current home, we knew it was right. Now, every night we come home - the home feels right and feels like home. For the first time since I lived with parents, this was a great feeling. We have been there 14 years and every night, we just feel thankful - oh, wow, is this really our house? (It's not a McMansion).

Do it.

[nsumner]

Have you seen the house on the inside? if not, make a trip and go take a look, pictures could be deceiving. How did you get the comps? Do you have your own Realtor? if not, the Seller's Realtor is looking after the seller's best interest.

Consider the cost of renting, moving twice, do the math... would it be worth it for you?

Good luck,

[Margel]

I think when you know when something feels right. One of the posters said it is a mistake to fall in love with a house, but I disagree. Buying a house is a big investment. Yes, you want a great deal, but you also want it to be the right house for you to make it a home for you and your family. You sound like you already know your answer in your heart. If it's meant to be, that house will be yours. Good luck.

[sandspur_321]

Originally Posted by Margel

I think when you know when something feels right. One of the posters said it is a mistake to fall in love with a house, but I disagree. Buying a house is a big investment. Yes, you want a great deal, but you also want it to be the right house for you to make it a home for you and your family. You sound like you already know your answer in your heart. If it's meant to be, that house will be yours. Good luck.

If it's priced right - like you say, one of the lower priced homes in the nicest neighborhood, and if you really do love it, and if you're pre approved?

Buy it already!!

Yeah - prices may drop a bit further, but they may not, and someone could snap it up while you wait.

If you're long term for that area - why not? It's only a measly $300K! LOL!

Good luck! Let us know how it goes...

[Silverfall]

If you are going to live there for a long time go for it. A home should help to destress you at the end of the day. Why wait and see if you can get a better deal, on a house you may sorta like?

With the price of gas going up, you may save all of that "better future deal" money just in gas savings alone. Hello...10 minutes to work in CA.

Put the offer in. It will take like 3-4 months to get the deal done anyway, so you'll have a chance to look around.