Appraisal came in $5k short, run or stay?

[patb]

[quote=ccutequeen]Thanks everyone for the advise and comment!

The bank just came back and willing to pay $2500 towarding closing cost without reducing the price, which for me is $2500 less cash to pay so end up to be same thing. I was just about to accept the bank’s new offer…its a miracle B of A even considered to do this..and then I got the HOA document.

The HOA document provide another surprise..or is it…that base on last year’s reserve fund study/analysis done by professional reserve fund study company (forgive me if I am using wrong words, not sure what they called), the HOA is currently 24% funded. Is that really low?[/quote]

I don’t know what you mean.

If the answer is “We have in reserve, 24% of the expected costs over the next 5 years”, then it’s fine.

If the answer is “We have in reserve, 24% of the expected costs for the coming year,” that can be an issue

if the answer is “We will have in reserve, 24% of the expected costs for the year by the end of the year”, then it’s just awful.

I’d call a real estate lawyer, show them the report, ask them.

Reserves are a huge problem for Condos if the reserves are poor, you can get a 2K assessment when the sewer pipes start leaking.

[tc]

My wife works for an HOA company. She had to have a special assesment done for some condos. It ended up costing everyone in the HOA a couple grand. So you can get a special assesment out of nowhere. Also BofA has three stages of approval. We got through the first stage with BofA excepting our 2% closing cost from the seller. However after the third stage it was removed from the contract. Of course they offered a loan mod to the seller so that didnt matter much.
Just asked the wife and she says that anything under 60% isn’t good. Below that and you risk having a special assesment if anything major stops working.

[tc]

My wife works for an HOA company. She had to have a special assesment done for some condos. It ended up costing everyone in the HOA a couple grand. So you can get a special assesment out of nowhere. Also BofA has three stages of approval. We got through the first stage with BofA excepting our 2% closing cost from the seller. However after the third stage it was removed from the contract. Of course they offered a loan mod to the seller so that didnt matter much.
Just asked the wife and she says that anything under 60% isn’t good. Below that and you risk having a special assesment if anything major stops working.

[tc]

My wife works for an HOA company. She had to have a special assesment done for some condos. It ended up costing everyone in the HOA a couple grand. So you can get a special assesment out of nowhere. Also BofA has three stages of approval. We got through the first stage with BofA excepting our 2% closing cost from the seller. However after the third stage it was removed from the contract. Of course they offered a loan mod to the seller so that didnt matter much.
Just asked the wife and she says that anything under 60% isn’t good. Below that and you risk having a special assesment if anything major stops working.

[tc]

My wife works for an HOA company. She had to have a special assesment done for some condos. It ended up costing everyone in the HOA a couple grand. So you can get a special assesment out of nowhere. Also BofA has three stages of approval. We got through the first stage with BofA excepting our 2% closing cost from the seller. However after the third stage it was removed from the contract. Of course they offered a loan mod to the seller so that didnt matter much.
Just asked the wife and she says that anything under 60% isn’t good. Below that and you risk having a special assesment if anything major stops working.

[tc]

My wife works for an HOA company. She had to have a special assesment done for some condos. It ended up costing everyone in the HOA a couple grand. So you can get a special assesment out of nowhere. Also BofA has three stages of approval. We got through the first stage with BofA excepting our 2% closing cost from the seller. However after the third stage it was removed from the contract. Of course they offered a loan mod to the seller so that didnt matter much.
Just asked the wife and she says that anything under 60% isn’t good. Below that and you risk having a special assesment if anything major stops working.

[ccutequeen]

Ok, to clarify, the report said something like” Base on the projected spending for the next 5 years, the hoa is 24% funded”. Then it talk about how and how much it would cost to bring hoa to 100% funded in 5 years.

60% ….hmm..this is quite far from it. I just talked to someone i know who just bought a condo. He didnt even read his hoa doc carefully. we looked at it now and it show his hoa is 17% funded.

By the way, this complex is called Creekwood river run. Anyone know anything specific about it?

[ccutequeen]

Ok, to clarify, the report said something like” Base on the projected spending for the next 5 years, the hoa is 24% funded”. Then it talk about how and how much it would cost to bring hoa to 100% funded in 5 years.

60% ….hmm..this is quite far from it. I just talked to someone i know who just bought a condo. He didnt even read his hoa doc carefully. we looked at it now and it show his hoa is 17% funded.

By the way, this complex is called Creekwood river run. Anyone know anything specific about it?

[ccutequeen]

Ok, to clarify, the report said something like” Base on the projected spending for the next 5 years, the hoa is 24% funded”. Then it talk about how and how much it would cost to bring hoa to 100% funded in 5 years.

60% ….hmm..this is quite far from it. I just talked to someone i know who just bought a condo. He didnt even read his hoa doc carefully. we looked at it now and it show his hoa is 17% funded.

By the way, this complex is called Creekwood river run. Anyone know anything specific about it?

[ccutequeen]

Ok, to clarify, the report said something like” Base on the projected spending for the next 5 years, the hoa is 24% funded”. Then it talk about how and how much it would cost to bring hoa to 100% funded in 5 years.

60% ….hmm..this is quite far from it. I just talked to someone i know who just bought a condo. He didnt even read his hoa doc carefully. we looked at it now and it show his hoa is 17% funded.

By the way, this complex is called Creekwood river run. Anyone know anything specific about it?

[ccutequeen]

Ok, to clarify, the report said something like” Base on the projected spending for the next 5 years, the hoa is 24% funded”. Then it talk about how and how much it would cost to bring hoa to 100% funded in 5 years.

60% ….hmm..this is quite far from it. I just talked to someone i know who just bought a condo. He didnt even read his hoa doc carefully. we looked at it now and it show his hoa is 17% funded.

By the way, this complex is called Creekwood river run. Anyone know anything specific about it?

[briansd1]

It’s only $5000 and an REO.

I think that if you walk, the bank will come down. They want it sold just as much as you want to buy.

And the Realtor wants to complete the transaction too. Everything is lined up for you to buy now.

If I were you, I’d stand firm.

But of course, it all depends how much you the condo. I have a feeling that if you stand firm, you’ll get a lower price.

[briansd1]

It’s only $5000 and an REO.

I think that if you walk, the bank will come down. They want it sold just as much as you want to buy.

And the Realtor wants to complete the transaction too. Everything is lined up for you to buy now.

If I were you, I’d stand firm.

But of course, it all depends how much you the condo. I have a feeling that if you stand firm, you’ll get a lower price.

[briansd1]

It’s only $5000 and an REO.

I think that if you walk, the bank will come down. They want it sold just as much as you want to buy.

And the Realtor wants to complete the transaction too. Everything is lined up for you to buy now.

If I were you, I’d stand firm.

But of course, it all depends how much you the condo. I have a feeling that if you stand firm, you’ll get a lower price.

[briansd1]

It’s only $5000 and an REO.

I think that if you walk, the bank will come down. They want it sold just as much as you want to buy.

And the Realtor wants to complete the transaction too. Everything is lined up for you to buy now.

If I were you, I’d stand firm.

But of course, it all depends how much you the condo. I have a feeling that if you stand firm, you’ll get a lower price.

[Author]

Posts