Sometimes, it takes a little vision to see beyond what is there and see what is possible.
It’s a skill that may take some time to develop, but is priceless for a home buyer.
I was showing houses to a first time buyer this weekend. They can’t afford their ideal house on their current budget. We’re looking for something with a good floorplan, nice yard, in the right school district, that can accommodate their family over the next 10 years. The house we’ll find will probably need updating, some new flooring, paint, and possibly cabinetry as well.
What is fantastic about these buyers: even though this is the first home they will ever buy, they see immediately the difference between what is there now and what is possible. Sure, those 80’s laminated cabinets aren’t attractive, but look how big the kitchen is! True, that olive green shag carpet has seen better days, but I bet we can get a flooring allowance from the Seller.
Do you have the vision to be a first time home buyer in this market? With average home prices in Tucson in the high $200s, many first time home buyers don’t have the resources to buy their ideal house as their first house.
Sometimes, a little elbow grease and a whole lot of paint can turn an ugly house with good bones into something lovely and enjoyable. In fact, it can be cheaper to put money into changing a lower priced home, than to try and reach into the upper price ranges to have everything already perfectly done to your tastes. Plus, remodeling usually adds value to your home.
If you want to talk about buying your first home, or your fourth or fifth home, give me a call. I’ll be making some progress on finishing this bathroom remodel over the weekend, but I’m happy to stop and chat.
Just let the phone ring a couple of times, it’s hard to hear through these stylish ear muffs.
May 28th, 2007 at 1:13 pm
I know that it is not in your best interest,
but shouldn’t you advise a first time home
buyer to sit out of this market for a few years?
Even if home prices were flat (they are actually going
down), inflation is eating away at the real value.
Wouldn’t It be best for the first time home owner put their
down payment money in an interest bearing account and
wait for a bit?
As far as fixing up property: The flippers have sucked
all of the possible value out of that part of the market.
Buyers of fourth or fifth home: This is not much of an
investment strategy. You can do much better in the
stock market. In fact, you will do much better in putting
your money in a 4% CD.
The buyers of multiple properties should very well know
what is going on, so I don’t have any sympathy for them.
The first time home buyer, however, should be very
careful right now.
I know that you want to make money selling houses, but
please have a conscience about how you go about this.
The first time buyer is the most vulnerable to getting seriously
hurt in the current market.
May 28th, 2007 at 2:35 pm
Good post Housechick. You are right that there are still some good deals to be found out there and sometimes all it takes is vision and effort.
-Athol
May 28th, 2007 at 3:41 pm
[...] talks about having vision for a property and gets dirty on her own [...]
May 28th, 2007 at 11:08 pm
Welcome back, Dugger!
I think I was misunderstood: I meant to use “fourth or fifth house” in opposition to those who are buying their “first” house. I have owned 4 houses. When I sell this one and buy another, it is my fifth, although I will not own 5 houses. As such, I didn’t mean to invoke investor or house flipper images, but rather an owner-occupant who makes improvements in the course of owning the house - and typical ownership length around here is 5-7 years.
You’re absolutely right: in some situations, it might be better for a home buyer to wait, to let their monies accrue some interest, before buying. First timers are indeed susceptible to bad advice (typically because they’re getting it from fifteen different sources at once) and to making less-than-ideal decisions because they’re brand-new to the whole process. However, I won’t make a broad generalization; that specific plan may not be the best for everyone.
My conscience is clear, and I sleep easy, because I serve my best interests by doing right by my clients, whatever that may be. I know that’s so hokey and cliche, but it’s painfully true. We discuss their needs and wants and situation thoroughly, so that I can look at each as an individual, case by case, and offer my best advice. I’ve told several people not to buy or sell, for various reasons. Every person (including agents!) and situation is different.
Athol - always happy to be part of the feed bag… What kind of livestock are your readers?
May 29th, 2007 at 6:29 pm
What kind of livestock are your readers?
Strapping good men and refined women every single one of them.
June 5th, 2007 at 1:22 pm
[...] ladies and gentlemen, I’m a fat guy. I wish I cut as lovely a figure as the Housechick when she’s demolishing stuff, but I’m nowhere close. One anonymous mouse who lurks around the Seattle-area blogs suggested [...]
June 8th, 2007 at 8:38 pm
What a great post! I’ve done the whole fixer-upper thing and can testify as to how challenging but fun it can be. What a great way to connect with buyers or sellers… Good luck on the million projects you have going on!
BR
June 8th, 2007 at 9:33 pm
[...] I invite you to wander over and view this post in particular as it is exactly the type of conversation that will most attract a consumer with this type of interest. With HGTV and others so popular right now with DIY shows, Kelley taps right in- what a fantastic conversation starter. You’ve may have already read this post, but now you can see it in the context of where your blog can go if it hasn’t already… If you want to talk about buying your first home, or your fourth or fifth home, give me a call. Iâ… [...]
June 1st, 2008 at 12:02 am
[...] I invite you to wander over and view this post in particular as it is exactly the type of conversation that will most attract a consumer with this type of interest. With HGTV and others so popular right now with DIY shows, Kelley taps right in- what a fantastic conversation starter. You’ve may have already read this post, but now you can see it in the context of where your blog can go if it hasn’t already… If you want to talk about buying your first home, or your fourth or fifth home, give me a call. Iâ… [...]