Post # 1
So, as I have mentioned in the past, my husband and I are currently living in my parents basement. Obviously, its not ideal. Its actually quite depressing. However it had become necessary for financial reasons (read crazy private student loan debt!).
We have just found out that we have the chance to buy my brother-in-law’s house for $20,000 or under. The problem is that it is a total shit hole. It is soooo small (as in there is not even room for a kitchen table), which I could overlook except that the foundation seems bad. My husband says he can fix it, but that seems scary to me.
However, it also sits on a double lot. So in the future we could potentially build another house on that in the future.
I am torn, and need advice. What would you do?
Post # 3
For my own reasons (need of space etc) I would do it! I think it would be great starter home and possibly even future dream home- either with repairs and exansion or building a whole new house
But, I LOVE home repair. HGTV is my favorite channels and I don’t even have cable haha
Post # 4
It reminds me of the movie The Money Pit, with Tom Hanks. lol First thing I thought of.
Post # 5
FIrst of all, do you have the money to fix up a house that bad? As much as I love DIY, that’s too much for me.
Are you prepared to look at it as paying $20k for the lot, $xx to knock the house down, and another $$$ to build a whole new house?
Do you even like the location?
Post # 6
Be careful!! The house we are renting now is super small and has a bad foundation. Our landlord has offered to sell it to us for $16K. But my FI is in constuction and we’ve had a couple estimates and everyone says to just knock it down. So maybe you could tought it out until your ready to knock it down? We also looked at knocking this one down but that was really pricey!
Post # 7
I don’t know if this makes any difference in terms of the foundation, but it is a wooden home built above the ground, so no basement.
Also, my husband is in the concrete buisness, and is very super handy. If anyone could fix this place up, it would be him.
We are considering just dealing with it until we could build another place… and if we did build another place, my husband would be able to to most of that himself and with the help of his family.
Post # 8
I would possibly invest in a home inspection so that you can see all of the issues that the home has before making a decision.
Post # 9
$20,000 for land sounds great to me! You can always get a construction loan on the property and build a house you will love for a lot less than it would cost to buy. Can you stay living with your parents until the house is built? I personally wouldn’t live in the house that you described, but it sounds like a great deal for the land.
Post # 10
I’d get an inspection on it. Find out exactly what’s wrong. From there I’d get an estimate on the labor costs involved with fixing the major issues. Thankfully your SO is handy, so you may only have to pay for materials in certain instances.
Post # 11
$20,000 for land sounds like a bargain to me. If your husband is able to fix the house and/or build another, you’ll be saving a ton of money. Honestly living as a newlywed couple in a house that’s badly in need of repair sounds much better than the parents’ basement and I would take it.
Post # 12
If the house is in very bad shape just make sure you can secure a loan and insurance for it before you agree? Also, do you have any idea of how much the property taxes might be? You don’t want to take this on if other expenses associated with it will sink you. Just a few things to consider beforehand.
I hope everything works out and you’re able to do this successfully. 🙂
Post # 13
@roxy821: My parents actually live on the same street! So we could definately stay here while renovating.
After a nights sleep, I am feeling a lot more open to this. Honestly, the floor issues don’t scare me as much today… I have every confidence that my husband would be able to fix those. The size still seems small to me, but we could add on in the future. In the mean time, we can get creative about making the space work for us.
We have a neighbor who buys and renovates houses all the time, so we are going to take him to see the property to get his opinion on its potential.
It would just be nice to have some where that is our own.
Post # 14
If it’s in a location you’d like to live in, I’d do it, even if just for the land. how often will you get an opportunity like this?
Post # 15
If you guys have the money upfront to fix it up, do it! But keep in mine, fixing a foundation is something that should be done by a professional with their fancy and expansive tools to ensure it is done right and wont cause future problems. A friend of mine tried to fix their own foundation and ended up with a $10,000 problem a couple years down the line. Also, find out why he is selling for so intensly cheap. Get an inspection!!!! Family or not, there could be stuff he isn’t telling you or doesn’t know about. If you can afford the upfront cost (our home, not needing too much work, has already racked up a 6K bill upfront and we aren’t done yet.) then I say go for it! You can take this house, fix it up, and then maybe even turn around and sell for a profit if you decide it is too small for you in the future!
Post # 16
@Mrs Hedgehog: He is selling it so cheap because that is the price he got a year ago on it. They are moving to be closer to his fiance’s family.
Also, I think that my husband has a lot of the tools needed. He and his family are in the construction buisness, concrete to be specific. But they have a lot of contacts for other parts of the contruction process as well.