Build your own range spinoff

[Aaryq]

Howdy, folks. As mentioned in the build your own range thread, I have mentioned that a few days before the thread was posted, I was thinking of that myself. Having gotten advice from land owners, contractors, and people who ACTUALLY know of the subject (and plan on moving to in an area with relatively inexpensive property when I get out of the Corps), I have a VERY rough quote, which will do for now, of about $350,000. That price includes the land (if it was totally perfect, I'd get a 100 acre rectangular lot) and a house on the land Now being 21 and in the Marines since I was 18, I don't know the first thing about mortgages, buying property and all that stuff. Plan B entails building a house out in the country and making friends with my neighbors (which would be an in-and-out range due to grazing lands and where the cows are). Out in the country where I'm from, I've fired from 1 man's land and hit targets on another's. I'm just not sure they'd let me build a roughly 1000 yard range (so I can practice my sniping skills).

What do I need to know before I start spending lots of money on a house and property?

 

[.41Dave]

Well, the housing and property markets are in the initial stages of a serious meltdown. Don't believe the desperate attempts to blow sunshine up everyone's skirt and the hacks who claim the worst is over. However, if you can be patient and do these things, you will be likely able to buy what you want:

Step 1: Save enough money for a decent down payment on the property.
Step 2: Maintain an excellent credit rating and minimal or no debt.
Step 3: Wait a few years so you can buy in near the bottom.
Step 4: buy.

 

[Joe Gunns]

I am not a real estate guru, but have done ok for myself in the last forty years and currently own three properties in different parts of my state. From my experiences I would recommend:

1. Get your own lawyer, with experience in real estate, to read all contracts and fine print. Lotsa folks seem to do OK just trusting their mortgage company/real estate agent, but if you want to be sure that you are going into it with your eyes open, an experienced real estate lawyer can keep you from blundering into some deal with a sweet smell covering a rotten core. Talk to him before seriously looking, he can give you some heads up. Yup he's gonna cost you some money, but his/her assistance can be priceless inthe long run.

2. Get your own real estate agent, the seller's agent has primary duty to seller. Interview potential agents. You are looking for experience and willingness to listen to YOUR agenda, not just show his/her own hot properties. Be prepared to fire him if he shows he isnt listening to you.

3. If property includes a residence, make sure contract is contingent on your acceptance of inspections, getting appropriate financing, etc. It should also include provision for paying rent to you in event property is not vacated by specified date.

4. Look for low priced property in the best area, this gives the greatest opportunity for appreciation. In a sense, you should be looking for the cheapest of the best. Granted this is tricky because you want to avoid properties with hidden or real-expensive-to-fix problems, but that's where your experienced agent, knowledgeable lawyer, and your insistance on inspections pay off.

5. Look at every square inch yourself, no matter how inconvenient, take along knowledgeable friend(s). Question everything that looks strange, not right, gives you a feeling of unease. Judge quality of answers.

6. Go for fixed rate mortgage. If rates drop appreciably you can refinance. Avoid balloon payment arrangements unless you are 100% sure you WILL have the funds at the time specified.

7. When building, get a minimum of three estimates. Be VERY leary of lowest bid, particularly if it is a lot lower than the average of the others.

8. the following is probably the best advice: Do your homework. The more you know yourself, the better you will be able to judge the quality of advice you get from agents, mortgage brokers, lawyers, rather than "just going along with the program 'cause everybody say it's right." There is lots of info on the web on all aspects of real estate. Start with websites for the various financial advice magazines such as Kiplingers and Money. BBB website can be useful in checking out complaints against realtors/contractors as well as general info. Community colleges sometimes offer non-credit evening classes on home buying, working with a contractor, etc. Our Metro Parks recently had a evening workshop on selecting and working with contractors.