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BarryC
09-28-2005, 07:07 PM
Hello,
I was just thinking about this, so I figured I'd tell the stories to see what you think, or whatever.
My parents bought a house when I was in Kindergarten. It was a 24' X 32' Cape Cod house on 2.125 acres. They got it for $23,000. It was solid as a rock, built like a fortress (built around 1949). My dad added a second story with attic in the late 70s. They sold it in 1985 for $119,900. This is probably a typical house story.
Now compare it to the following house: In 1985 they bought a 2 year old, 34' X 40' Colonial on 5 acres for $100,000. It was built by the owner. He was in a hurry to sell because he was out of work because of a dog bite or something. I was 21, going on 22 at the time. We soon discovered that the bedroom closets had no doors on them. The clothes poles were really galvanized pipes jammed into the sheetrock walls! In fact one was so large in diameter that you couldn't hang a hanger on it! The bathroom in the master bedroom had never been outfitted with bathroom fixtures, but instead had had a washer and dryer in it.
The house is 460 feet back from the road but there was only one pole holding up the electric and phone lines between the house and the road and it was within 40 or 50 feet from the house. So the pole in the yard and the pole at the road were bending badly under the weight. It was scary to look at. It was all put underground later.
Within 3 or 4 years the middle of the house was sagging so badly that you couldn't close the bedroom or bathroom doors all the way. There was an I-beam holding up the house with no columns or posts. That had to be taken care of.
The chimney was 3 flues wide and attached to the back of the house, or so they thought. By the mid to late 90s it had fallen so far away from the house that at the roof overhang it was 8 to 10 inches away. It had to be taken down, a footing poured and the chimney built back up and attached to the house.
There is a concrete ramp in the back yard leading to a standard size overhead garage door to the basement. One of the retaining walls holding back the yard collapsed in a severe rain storm in the late 90s, and that had to be rebuilt.
The front yard had originally been sodded but one day when I decided to transplant a small Holly tree into the yard I discovered that there was a layer of natural gravel on top of the topsoil! It took me an hour and a half to dig a hole that was maybe 15" wide and 10" deep.
Then about 4 or 5 years ago the roof had to be replaced.
It's all history now and I only talk about it because I like to tell stories. Does that make sense? But it is pretty bad. What a house! Too bad it's all true.
Does all this sound a bit extreme? Anyone have experiences like this? Or even worse? I'm curious if this is somewhat common, or not at all.
Barry

Aric2000
09-28-2005, 09:29 PM
I'm a home inspector, and some of the houses that I have seen make your parents house look like a professional made it.

Moral of your story, ALWAYS have a professional Home Inspector inspect a house you are thinking of buying.

It is better to be out 3-400 bucks, then to be out 100,000+ when it turns out it's a disaster waiting to happen.

Melz
09-28-2005, 09:33 PM
I have found that ANY appraiser will kiss arse for a lender to get a home sold, and most lenders don't even require an actual inspection, they just hire someone who can say fancy things about a home and its land. Any reputalbe and insured realty company requires an inspection before they will try to sell a home. Did they get an actual inspection?? I don't know how a house like that would pass an inspection but I know it would get rave reviews from an appraiser.

The_Fireman
09-29-2005, 05:31 AM
How did you parents manage to buy this house without noticing that the bath didnt have fixtures and the closets didnt have doors?The electric line seems seems that it would also be quite noticeable.Did they actually look at this house?

jag
09-29-2005, 06:41 AM
It almost sounds like a tear-down. Where in SJ? 5 acres is a nice size lot and today could be worth a pretty penny in many areas now.


We bought our presant house in 1999 for a fraction of it's worth due to poor maintinance and ill thought out add ons. At the time (when the previous owner) made "improvements" the township wasn't as involved as they are now, so inferior work was a standard throughtout the home.

BarryC
09-29-2005, 02:36 PM
Well the other bath upstairs was okay. Just the bath off the Master Bedroom had no fixtures. It only had hookups for washer and dryer. I guess they didn't care, and probably the same for the closets. They decided to live with it, since the price was less than what they got for the old house. But still they spent some dough on fixing up the closets, and the other things later. In the kitchen the refrigerator was blocking half of one of the French Doors to the outside. They had it relocated.
I believe they did visit it before buying, yes.
How did you parents manage to buy this house without noticing that the bath didnt have fixtures and the closets didnt have doors?The electric line seems seems that it would also be quite noticeable.Did they actually look at this house?

BarryC
09-29-2005, 02:43 PM
It's in Mullica Township, Atlantic County. It's a very rural area in the Pinelands National Reserve. It's in a section of the Reserve where minimum lot size, mandated by the Pinelands Commission, is 5 acres. The house was only 2 years old. It was outfitted with Anderson Windows throughout, but some were improperly installed and they could never get them to stay open. They never did anything about the windows though.
Between the house and the road there was an acre or so of Christmas Trees which had only been in the ground for 2 years. But they had never been sheared in that time, so were already beginning to get overgrown
It almost sounds like a tear-down. Where in SJ? 5 acres is a nice size lot and today could be worth a pretty penny in many areas now.


We bought our presant house in 1999 for a fraction of it's worth due to poor maintinance and ill thought out add ons. At the time (when the previous owner) made "improvements" the township wasn't as involved as they are now, so inferior work was a standard throughtout the home.

The_Fireman
09-29-2005, 03:32 PM
kinda reminds me of that Tom Hanks movie,"The Money Pit"

BEST45CAL
09-29-2005, 05:33 PM
I have found that ANY appraiser will kiss arse for a lender to get a home sold, and most lenders don't even require an actual inspection, they just hire someone who can say fancy things about a home and its land. Any reputable and insured realty company requires an inspection before they will try to sell a home. Did they get an actual inspection?? I don't know how a house like that would pass an inspection but I know it would get rave reviews from an appraiser.

The homeowners should have gotten a home inspection before purchasing the house. Plain and simple.

What a real estate appraiser writes about a property and what a home inspector does are two completely different things because real estate appraisers DO NOT make home inspections. They are not trained to do so. Only a home inspector can do that. However, if an appraiser finds something that’s way out of whack, it will be noted on the appraisal. Appraisers cannot determine if a structure is unsound. Only a structural engineer can determine that. So blaming an appraiser for the condition of a house is the same as blaming your bank for a crappy car that breaks down a lot. All appraisers do is tell the bank what they see.

Appraisals are NOT home inspections. They work just like any other appraisal. Take jewelry appraisal, for instance. They determine what the ring is worth, not whether or not the ring was made in a crap-ass manner or if the stone will fall out tomorrow because the prongs are cheap.

CAVEAT EMPTOR!

Since 1989, all real estate appraisers must now be licensed by the state they work in.

An appraisal is an OPINION of the value of the property. Appraisers work for banks and do not have the authority to make the homeowner complete necessary repairs on a property or enforce building codes. All they do is give their opinion of the value of the property as it sits. They are not required to go into attics and crawl spaces, but deferred maintenance will go in their appraisal reports. Appraisers are nothing more than the eyes and ears for the bank. They simply let the bank know if the property is a good bank risk.

Appraisers may work for the bank or are independent contractors. Their fees are not determined by the value of the property, however, an appraisal that is more complex will cost more to do.

Appraisals are paid for by the homeowner through the bank. Sometimes, the homeowner will pay the appraiser directly if they hire an independent appraiser. So the appraiser gets the same amount no matter what they write up. An appraiser will not get more money for writing up a favorable or unfavorable appraisal. An appraiser gets paid to do the appraisal. PERIOD.

Giving favorable appraisals?

There is no such thing as a favorable appraisal because the bank could care less about that. It’s usually the homeowner who wants the property to come in at a much higher value.

If an appraiser finds something obviously wrong with the house, this can delay the loan process until the homeowner can make the required repairs. This could potentially upset the LOAN AGENTS, who work on commission. Each month, every loan agent must meet a certain quota. If they don’t pull their weight, they could lose their jobs.

However, if an appraiser changes an appraisal for a loan agent, it‘s considered as accepting a bribe. NO appraiser is willing to lose their license so some jackass loan agent can make his quota for the month.

Real estate appraisers are licensed by the state they work in. Their training is regulated by the state. Not only that, there are license renewal fees along with mandatory training requirements which must be met every few years and are paid out of pocket by the appraiser. This entails taking a set amount of hours of classroom instruction within a certain period of time, but each state varies. For example, California has some of the strictest standards when it comes to real estate appraisal licensing.

I know someone who currently does real estate appraisal review. They review appraisals done by appraisers from all across the nation. They then assign a risk to the appraisal. This informs the lender of the risk involved with the appraisal. A review of an appraisal tells the lender whether the appraisal is a good collateral risk or not.

BEST45CAL
09-29-2005, 05:36 PM
I'm a home inspector, and some of the houses that I have seen make your parents house look like a professional made it.

Moral of your story, ALWAYS have a professional Home Inspector inspect a house you are thinking of buying.

It is better to be out 3-400 bucks, then to be out 100,000+ when it turns out it's a disaster waiting to happen.

Yer dern tootin'