Friday, May 2, 2008

Trigger Happy

I think spring fever has hit. I find myself daydreaming about the REO home we have an offer on (going on week two, with no word from the bank). I've even been turning on HGTV after the kids go to bed (to glance at while I read my WSJ).

I am ready to buy a house, almost any house at this point.......I know this feeling will pass, as it has the other 10 times or so it has hit in the last year and a half....but it doesn't make the situation any easier (of course writing in a blog dedicated to housing on a daily basis doesn't help my situation). Each time it gets stronger though (kinda like labor contractions). And each time it happens, prices are a little lower, so it becomes easier to justify going forward with a purchase (I had a bad case of it last fall Fall too).

Previously, a little time would cure my problem, and set me back on a rational course. But lately, I can't seem to get this house off my brain. Everything I do makes me think about how it would be in the new house.......(with summer coming up it is especially noticeable, since the home has a patio, and our rental doesn't have any shade in the back yard).

Yesterday I almost had the mind to walk into one of the new home developments and plunk down a deposit. Yikes! They are much more competitively priced compared to resales (except for REOs), and compared to REOS, new homes don't have any major maintenance and repairs needed. I am also getting tired of the hassle of trying to work with banks.


biosurfer1 said...

Putting down a deposit on a new home community!?!

Thats an easy one to get off your mind, just picture yourself with $2-300/month less after HOA and Mello-Roos!!

Deflationary Jane said...

"just picture yourself with $2-300/month less after HOA and Mello-Roos!!"

That's what I do. I look and plot and then I read about the HOAs going bust >; )

Buying Time said...

Oh but you underestimate my ability to justify these things.....there will be a clubhouse, so the HOA is roughly equivalent to our current gym membership (which we would cancel), and the community is solar, which could be considered a reduction in our mello roos....

Luckliy Paul has offered to take over for a while, so I can disconnect and get my finger off the trigger.

Patient Renter said...

the HOA is roughly equivalent to our current gym membership

Kind of a pricey gym I'd think.

Biosurfer1 said...

I have been an energy engineer for several years and learned one thing about solar panels, if you are not doing it for PR reasons, it is not worth it, no matter what anyone tells you.

Not that I'm against saving energy (actually its my job) but the payoff for solar is light years away from being fesible.

sacramentia said...

I know the feeling and every time I give into my spring trigger happy mood I regret it by the end of July.

Why is everyone so anti HOA and Mello Roos? As long as you don't mind the rules they are a good for keeping up the neighborhood.

After my wife and I bought our first home together, the next door neighbor turned the front lawn into an RV parking lot without paving over the grass, and used to drain the gray water onto the lawn. (don't want to waste water)

We used to joke and call it the guest house. This wasn't in a bad neighborhood - it was at a house that costs 669k today according to zillow!

sacramentia said...

he HOA is roughly equivalent to our current gym membership

Kind of a pricey gym I'd think.

most things nice aren't cheap

Patient Renter said...

Why is everyone so anti HOA and Mello Roos? As long as you don't mind the rules

Because the rules suck. Who wants to pay money for the privelege of being told what you're not allowed to do with your own property?

Town/city ordinances can be used appropriately in place of an HOA.

The gym comment was just thinking how many months it would take, at that price point, to build your own home gym. said...

Beware of private transfer taxes on these new home developments. They are supposed to be disclosed by the builder, but if you are not on the lookout for this sort of thing, it may not pop out at you as you sign the builder paperwork. said...

Why is it that my links never post? Let's try this again:

Buying Time said...

The gym is about 130 a month, and they watch the kids while we work out and have a nice family swim area (working out at home doesn't happen cause the kids are way too curious and want to do it too). I love our gym (CalFit), its our little luxury...time away from the kids and the daily drudge.

Thanks for the heads up Erin.

We actually just got back from visiting a development. Not the solar one though. It's really nice....I am soooooooooooo tempted. Good thing Mr. BT will be gone this will give me some time to sleep on it. No HOA fees, and we can park on the street!

Sippn said...

Some new developments have added assessments in the tax base, on top of standard prop taxes.

As long as you know, you can figure out the price you're paying.

I only realized that because in older Sac county neighborhoods there are no HOAs, no Mello Roos, no added assessment districts, and the utilities are relatively cheap.

Now you can have an HOA, without any fees, that would be the rule part that tells you how many cars you can park in the driveway - of course, PR is still dreaming about parking on the lawn... that way you can't see the pile of Bud cans and Mama can sun on the driveway.

In favor of dues like Gold River, I was driving through the Plumas Lake area and yellow lawn after yellow lawn when all of a sudden there was a green line where the HOA project was. I see the light now.

sacramentia said...

PR - It is funny to argue about freedom and property rights with a renter. Oh well.

I have a set of free weights and a bench if you want them for a home gym: free to you. We joined the Gym that BT goes too and just don't use them any longer.

The way that I analytically justify the Gym is by the cost of a pool and hot tub also - that more than pays the $169/month (including unlimited daycare)

Buying Time said...

I think some of you might be mixing HOA fees, versus CC&Rs. The CC&Rs say what you can and can't do. The HOA tends to provide services, like security, front yard maintanence and who knows what.

Although, I'm not exactly sure how the CC&Rs are enforced without a budget from a HOA fee. But that's how it is in several new communities we have looked at (CC&Rs but no HOA).

alba said...

CC&Rs are normally monitored by a person from the property management firm your HOA pays. That person drives around the 'hood periodically (weekly) and take pictures of your infractions. You then receive a letter in the mail and are given a few days to correct it. CC&Rs can be crazy, but they typically have some overall value to the homeowners. The HOA where we rent, pays for the security goons to use radar and send out $50 speeding tickets for going 28 mph in a 20 mph zone. Frustrating, but someone asked for them to limit (my) speeding.

In our last house, the builder acted as the HOA until they were are built out. I can't imagine CC&Rs without an HOA.


RESIST!!! Prices are still going lower, just hang in there. Millions more REOs coming on line, sit tight folks.

biosurfer1 said...

I have CC&R's but no HOA. I have been told that if I have a problem with another house that it is up to me to enforce them. They list the proper channels for doing this and I guess the benefit of them are if the house owner ignores them, I "hear" its a slam dunk for court, even lists in the CC&R's that I could charge any lawyer fee's, etc to the claim.

This is all theoretical of course, and hope I never have to test it..luckily I seem to have great neighbors:)

Paul said...

BT- One way to avoid the Trigger Happy pull, is to stop going to open houses. Mrs. Paul falls in love with almost every open house we see. My solution was to limit open house visits to homes +$1 million, then when she falls in love it is easy for her to accept that it is out of our price range. If you keep going to open houses and builder models, it is simply a matter of time before you buy.

Jacob said...

Exactly the reason why I will not be visiting any homes this year. Makes it easier to not buy one.

Patient Renter said...

No HOA fees, and we can park on the street!

It's like the fall of the Berlin wall all over again ;)

Seriously though, that sounds better than most.