Buying a foreclosure with some repairs ...
Dear Forum readers,
My husband and I are first time home buyers and we've lived in apartments all our lives. We are currently looking at a house in Northern California and I am reaching out to you to gather independent advices :-).
We are considering a house that would probably fall into the "fixer upper" category. The house is located in a quiet, nice neighborhood. Early inspections of the house indicate that the house is structurally sound and the roof is fine (except some flashing-related repairs). There are 2 main problems though: (a) two bathrooms have leakage problems that have affected the subfloor, and (b) we observed some mold (source unknown) on one of the closet walls that is also an outside facing wall. Other small fixes, include painting, fixing the lawn, upgrading the kitchen, etc.
Unfortunately, asking the seller to fix any of the above is not an option as this is a foreclosed property. We have an agent but, of course, the decision has been left to us. Naturally, the house is priced slightly lower than the others in the neighborhood, but my initial guess is that additional costs of repairs will bring it close to the neighborhood house prices.
So why should we buy this place?: we are hoping to take on some remodeling projects that will hopefully improve the value of the house. While we are not experienced handy persons, we have no qualms no qualms about spending our weekends working on the house. We understand that we should contact a contractor to fix the subfloor and the initial quotes are a few thousand dollars.
My question is: What would you do? :-) Is fixing a moldy wall and a leaky bathroom feasible fixer-upper projects? How much spending (ball park) are we looking at? Anyone has any similar experience that they are eager to share? Can we push the seller (bank) for credits for repairs?
To RE agents, please don't post replies to fish for new clients (sorry :-)). I am really looking for advice from "regular" home owners and hopefully learn from their experiences.
Thanks much in advance,