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Old 05-03-2011, 06:33 PM
 
274 posts, read 678,844 times
Reputation: 167

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Is 135K a good deal on a rehabbed home in Patterson Park area, specifically on Ellwood? 2 blocks south of Baltimore St? w/seller paying all 6% of closing costs? Potential for a parking pad, balcony off of bedroom, hardwood floors, 2 bed 1.5 baths, office area, basement, etc? Should I stick to my guns and stay with a 129K offer which was listing price? having seller pay closing ? I realize seller would have to take more of a hit at that price, but just wanted to see what others out there think about that area and the potential for home prices coming down even more...I don't want to pay 135 for a home that's really only worth 120K or less...especially in this market. but its a great home. NEED ADVICE!!! aaaaaah~!
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Old 05-03-2011, 06:43 PM
 
Location: Baltimore
158 posts, read 395,777 times
Reputation: 57
offer $115K. or less. if you think it's only worth $120K make your starting offer lower than that. how long has it been on the market? are there other offers? did check for the building permits online to see if the work was done properly? you have nothing to lose by submitting a low offer. in this market I'm sure the seller will counter. don't pay more than you think is fair - - houses like that are a dime a dozen in Baltimore. For real. Another one will come along, I promise! Good luck.
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Old 05-03-2011, 08:46 PM
 
1,175 posts, read 2,900,855 times
Reputation: 539
Seems like a really good deal. Ellwood is a pretty nice street. 1 Block off the park?
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Old 05-03-2011, 09:54 PM
 
274 posts, read 678,844 times
Reputation: 167
The story is this: Asking price is 129K. has relatively new stuff inside, new windows, nice hardwood floors, 2 beds 1.5 baths, potential for parking pad, balcony off second bedroom, nice size living/dining area, basement...taxes are 3500-ish...mortgage at 129K was around 1100/mo. I offered 129K but said seller pays closing 6%. It's been on market for 200+days. Prior list prices were too high, so now it's reasonable at 129K. BUT, the offer was countered because of the seller having to pay closing, so she upped the price to 135 and agreed to pay the full 6% closing, which, after applying my 5K grant to the closing costs, adding seller help, I'm getting into a home with under 1000K out of my own pocket. So all of you out there who are good at this stuff, does this sound like a good deal even with the upped price to 135 so she's not taking an even bigger hit? The mortgage only goes up like 40-ish bucks a month. In the long run, is this a good deal? Am I a sucker? Should I wait for something else? Jump? Hold em? Fold em? I'm a rookie and my family is out of state so I'm going this alone! first time!!!
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Old 05-03-2011, 10:21 PM
 
Location: Baltimore
158 posts, read 395,777 times
Reputation: 57
I just looked up the house - it's cute and looks like it's in good shape. I don't think you're a sucker! And that neighborhood is totally fine. You'll like being close to the park! And Canton isn't too far. Are you comfortable with the property taxes? You might want to appeal after closing if the house is assessed for more than what you purchase. I still think you could *probably* get it for a bit less - - but it sounds like this seller might take a loss if she goes any lower. If you're comfortable with it - go for it! I just bought a house and it's hard not to get caught up listening to everyone telling you to lowball - - but bottom line - - stick with what you're comfortable with.
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Old 05-04-2011, 12:13 AM
 
Location: un peu près de Chicago
773 posts, read 2,631,630 times
Reputation: 523
200+ days on the market is a long time. I would stick with $129k and seller pays closing. It's a buyer's market these days. Good luck.
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Old 05-04-2011, 03:48 AM
 
Location: Portland, Maine
4,180 posts, read 14,598,386 times
Reputation: 1673
135 is great for the neighborhood. Do a search on homes available in the Patterson Park area and you will find rehabbed homes going for over 300 and down. Also, homes in the area are starting to squeak up a bit.

Here is a link showing the wide variety of prices. 135 is low for a rehab.

http://www.trulia.com/MD/Baltimore,7275,Patterson_Park/
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Old 05-04-2011, 05:40 AM
 
Location: Portland, Maine
4,180 posts, read 14,598,386 times
Reputation: 1673
Quote:
Originally Posted by jonjj View Post
135 is great for the neighborhood. Do a search on homes available in the Patterson Park area and you will find rehabbed homes going for over 300 and down. Also, homes in the area are starting to squeak up a bit.

Here is a link showing the wide variety of prices. 135 is low for a rehab.

Patterson Park Real Estate & Patterson Park Homes For Sale — Trulia.com

At that same link, you can click on "sold" properties in the neighborhood to see what folks got.
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Old 05-04-2011, 05:53 AM
 
131 posts, read 344,226 times
Reputation: 95
Gotta look at the comparables.

However, I think a seller is hard pressed to get list price in today's market.
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Old 05-04-2011, 05:54 AM
 
Location: Baltimore
1,757 posts, read 5,138,453 times
Reputation: 1201
Are you representing yourself or do you have a realtor? If you're representing yourself then you shouldn't need 6% in closing costs as you can have an attorney handle the title change and there would be no commission fees. Since you're paying cash, you have much more purchasing power than someone using even the most conservative of loans since the seller is near guaranteed that a sale will occur. Frankly anything rehabbed under 150k in that area should net you some decent coin in a couple years if the trends in Baltimore stay as they are.
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