Buyer Beware: 94% of Home Sellers Are LIARS!
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- เผยแพร่เมื่อ 2 ต.ค. 2024
- In a shocking new housing survey it was reported that 90% of recent homebuyers found an issue with the home they purchased that was not disclosed by the seller. Even more shocking is that 94% of home sellers surveyed, admitted to not disclosing all the known issues of their property to the buyer, which is not only illegal, but makes these home sellers liars!
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PROPERTY TAXES About To DOUBLE! Are YOU Ready? th-cam.com/video/PZEGEP3lUYc/w-d-xo.html
Is there any legal reason not to mention the full names of the inept and fraudulent agent and inspector? Can't get the money back but they should at least lose their reputation and it could help prevent people from getting suckered by them again.
so far my wife says we are homsteaded and capped at 2% increase. Im not the financial part of the family, lol
Talking about delusional people, holy crap. A condo in my neighborhood just listed for $485K and selling agent gets 1%.
By far I had the nicest condo and I sold for at least $50K below OpenDoor’s identical floor plan but nowhere near as nice upgrades. I listed mine at $429.900K 3 days after OpenDoor bought one for $453K and they tried selling it for $485K. I sold mine and closed in 17 days, Opendoor have lowered theirs 3 times, as low as $429K and still couldn’t sell… and now they are trying to find renters. However, the guy trying to get $485K and pay 1% commission told me that he’s 100% sure “there’ll be a moron who will definitely give me $485K I’m asking, and I will not fix anything!” In other words, he’s calling me stupid for selling mine for $425K. Maybe one day I’ll regret selling mine cheap, but at least I made a Canadian couple happy and I still made 70% profit on it.
This is a massive problem. Government agencies that collect property taxes are foaming at the mouth! I think we are capped at 10% property tax increase annually for homesteaders houses.
An unlimited power to tax involves, necessarily, a power to destroy; because there is a limit beyond which no institution and no property can bear taxation. A question of constitutional power can hardly be made to depend on a question of more or less.
I was in the mold business for 30 years. Sellers lie all the time. Beware of scented candles. And drive by inspectors.Never use the realtors recommendation 💰💰💰
Scented candles and glade plug ins, can be a red flag for sure.
Glade plug ins, yeah! Learned that the hard way. The owner was a smoker, and it took 4 months to get the smell out. I was lucky they didn't live there too long, so the smell went away eventually
how the heck to people afford (let alone justify) $7k per month in rent?
My husband and I went to look at a house after reading the seller's disclosures. No issue with the foundation according to the seller, but there were HUGE horizontal cracks in the foundation and noticeable settling. My husband knows a lot more about buildings than I do, but even my untrained eye caught it. And the seller didn't disclose it? Why not? That was the same seller whose agent pressured us to waive inspection--no way, man. If I were a realtor, I guess I wouldn't last, because I'd have looked at the property and said "you have a foundation issue that needs to be disclosed". Sellers lie, but realtors facilitate it. This insane market has enabled a lot of very unethical and illegal behavior.
All good points Ellen, this scam was surely a team effort.
If you don't know what you are looking at then definitely hire your own inspector.
I would never trust the sellers inspector
I totally agree with you. Sellers lie all the time this is not only from previous experience as a realtor but my husband who is a defense attorney for a homeowner insurance, says they lie in your face knowing that the roof for example was probably leaking before filing a claim and the previous seller never disclosed it to the new owners and then they file a claim which is totally fraudulent stating “ storm caused it” 🤥😐
Here they are being allowed to answer I Don’t Know on disclosures and get away with it. Realtors are definitely in on it. I had a realtor tell me that there was nothing wrong with a house we wanted. The windows were 30 years old, some wouldn’t close, there was rotted wood around them, they were sweating. I almost put my foot through the floor of the bathroom because of a leak. Our realtor at the time backed down and said we shouldn’t worry about it and pay over asking. Horrible people who are only wanting of a commission check
F'n sue for fraud. Take them for everything and tie both the seller and realtor in court for years. You just need to find a bulldog attorney who won't stop until they either pay or are in prison for either lying to the court or submitting knowingly false documents.
Judges don't take kindly to be made a jack arse of.
Greed is what get investors trapped when price continues to drop.
Yep!
😝
I recently vacationed and visited family in Miami and Naples. After watching your channel, curiosity got the best of me. I decided to recon homes for sale in both locations. I had Sticker Shock! So, I returned to Costa Rica and bought another beachfront home, at 1/3 of the asking prices in Miami and Naples!
Amazing how cheap other places are compared to here!
Thank you for talking about the insurance issue in Florida.
You are a super-smart man and I’m proud of you and what you have accomplished!
You're welcome Len! I will continue to talk about it as more news pops up. I really appreciate your kindness!
over 1 million and not one garage..wtfff I would rather move to cancun and get a mansion for 400k by a lake.
So those guys are trying to make $700k in 1 year!!! Unbelievable Aholes
Yep but it aint gonna happen.
@@MichaelBordenaro the greed in our society never stops amazing me
Did that new listing say for rent 7k per month????
People talk about corporations being greedy, but people are just as greedy
this is proof
Agents make corps look upstanding.
How to do an inspection: 1st get the sewer scoped (or septic). Because that's $250 (or so) and if they find something that's a walk away from the deal time. go down to the building department and pull any permits. Make sure the permits agree with the work done (nothing unpermitted) Then get a plumber, an electrician and HVAC guy (may also be plumber) and a carpenter if you feel uncomfortable. Now instead of some guy who took a online course to be an inspector, you have licensed professionals doing a thorough check. Generally takes them an hour or two. ($100/hr, easiest hour they have all day). Now when you go to discuss the issues with the seller, you have licensed professional's report that X and Y need to be fixed. The seller can choose not to fix it, but now they have to disclose it. It's not a difference of opinion at this point, ti 's a licensed plumber/electrician. The cost is about the same. $250 for the sewer. $100 each for the 3 pro's, you're still at like $600 which is less than some boilerplate inspector report. (obv you can also get a chimney sweep, termite inspector, etc).
and always be ready to walk away. If the inspectors say "yo, this is really bad" well you know what? That's the best $500 you'll ever spend.
This is EXCELLENT advice Brian. Sadly most will never do it though.
"The seller can choose not to fix it, but now they have to disclose it."🤣🤣🤣🤣🤣 You really believe that. Yes, you need the inspection, but you need to learn to do a good look through on your own to keep from wasting the $500 on a house you need to walk from.
@@bindingcurve oh no, when the house sells, you send a nice letter to the new owners asking if they are aware of X, Y, Z defect that the previous owner was made aware of via letter on such and such a date. Paybacks a b*tch
We walked away from a house. Inspection said the roof asphalt was completely bald and a disaster waiting to happen unless the roof was replaced. No maintenance in 20 years. We requested roof replacement. Seller refused, realtor came down on us, said he could find some roofing guys to say the roof was fine. We told him the concern wasn’t our lender’s, it was ours. We don’t want to buy a house and still put $50k in total repairs (it wasn’t just the roof, inspector discovered sellers used a potted plant to hide obvious unresolved water damage in the bathroom). We asked for water damage repairs. Sellers also refused. We backed out. Realtor updated house listing to say “buyer failed to perform” meaning we didn’t qualify for the loan. I’m pretty sure they didn’t update their disclosures either from the inspector report.
@@christersmith5470 Write a nice note to the new owners, I mean you know the address. I'm SURE they might be interested.
It takes 18 to 24 months to bleed out once you get wounded, summer of 2023 onward will blow peoples minds.
I saw a listing just like that near where I live. Literal insanity. Bought for 500k-600k and tried to sell it after a cheap remodel for 1.2m+
They also lie about sq ft and withhold information that should be disclosed. Just to name a few things.
That too!
I agree with the stats on the dishonest sellers. Last 3 homes I looked at, all claimed no issues or to not be "aware of" issues only to pay for inspections + termite to find not just one or two little issues but MAJOR from termite ridden to crumbling foundations already previously known because you could see the patched up old repairs. Just want to Vader choke the hell out of these idiots. Like how in the world can u sign that crap KNOWING I'm going to find out at inspection u lying? They dont care just looking for a SUCKER!
You said it! Looking for a sucker that won't notice!
Well I'm selling and I must be the 6%. New construction when I got it and selling 3 yrs later.
No problems or issues known.
Many sellers seem unaware they can be sued for intentionally not disclosing issues.
People don’t want to pay for inspections either extra cost
@@christersmith5470 They just put "not aware of" any issues, and can later claim that they forgot.
Flippers are done too. They delusional too
These guys are dreaming!!
We rented in st. Pete for 2 years. Rat infestation that the owner/landlord knew about. Termites as well. Talked to multiple rodent professionals and they said they are seeing rats all over properties in St. Pete. Those 1950s/60s homes are susceptible and St. Pete is densely populated.
Yikes! Very scary stuff!
shawn woods on utube is a great help channel for rodents and the many ways to rid the problem.
Had sellers steal every cabinet pull (MCM original, NOT F'ING CHEAP to try to replace) and LEFT all the mouse shite in drawers.
The greedy folks in Miami are not as bad as the Folks in California! Wow! The love of money is the root of all evil!
I always look at the sales for the properties and I would never buy something from A flipper I don’t trust that I’m actually getting a good market value price
Smart
Same here I would never help anybody double their money for a one year investment 😂.
@Rodney Franks people finally catching on to the scam.
I’m with you there, I tend to skip over flipper deals. And right now it’s fun to watch. Somebody bought a house here in San Diego for 1.3mil and tried to sell for 1.5mil in 3 months. Now they just took it off the market as they were not getting ANY offers my agent told me.
Are flipper sales ever a good purchase? Are there some honest and ethical flippers?
What’s wrong with the sellers in Miami? Greed has a limit. Excellent video!!!!👍👍👍👍
They are dreaming!! Glad you liked the video
There's no limit to Greed in Miami.
The greed has been insane with some of these sellers
In this environment, many people are realizing they might not want a 5k a month obligation hanging over their head, especially on a possible deprecating asset.
Nah dude housing market 3x
Definitely not Deprecating
Rents have to go down first, they are still going up. You have may have deprecating asset but with a 30 year fixed, your payments are fixed. When you rent your landlord can drop a 20% increase on you.
@@trainsandlocomotives Not sure if you're being sarcastic, but here in Maryland prices are still high and houses are selling.
@@HawkGTboy agreed
$1.25 mm and no garage! LOL!
Looks like there used to be, and they got rid of it
10:30 I am sorry for these buyers. Always works with a 'good' realtor, red flags should not be ignored. You are making the biggest purchase of your life, don't rush and do the due diligence. Understand the homebuying process and move carefully.
Never use your realtor's inspectors. It isn't as bad as using the seller's inspectors, but it still presents a conflict of interest.
One thing you haven't considered is that neighborhood is very close to the ocean and is going to be underwater 10 years ago.
I have considered it, maybe many moving here have not
IMO 7548 will get sold at the market bottom for $800k in a year+. Its not worth $500k by the looks of it. Teardown.
We'll see, I'll keep coming back to it every now and then to see what happens
People have gotten so greedy thinking I am sitting on Gold and I am going to get a boatload of money this is wrong the market needs to tank to make these people realize what comes around goes around and you have to work for your money not just put a sky high price and expect some desperate person to give you all this money? what has America turned into? our young people cannot even afford to buy now this is wrong.
Its totally unrealistic thinking Joyce. Its going to correct.
It'll be interesting when these people have to mow their own lawns, babysit their own kids or detail their own cars as people in those positions now have to move to a more affordable area.
@@PonyGirl004 Yup, 50+ miles away in IN, where you have a lot of a**holes, but you can get a huge place in a big piece of land for 1/3rd of the money of major city.
Dog care 34 years. Won't be able to afford to live here soon.
My girlfriend and I at the time in New York we’re looking to buy a specific house and the sellers were wrapped up with the real estate agent that we called to see the house and they disclosed nothing including the fact that the plumbing was a disaster and the place had burned down and just been painted over and patched up. When we were there with our two friends who were a fire fighter and a contractor helping us inspect the place our friends were laughing at what disaster the house was and the realtor took both of them aside and tried to bribe them to tell us the house was great.
Not gonna lie it infuriates me when U see how much people are trying to sell theor homes for 50-100% more than they paid for it. I was interested in a house that was around 350k and they paid like 190k for UT just a year or so ago. I refuse to buy a house like that. I'll just wait until they are begging me to buy it for 250k
Me too. Even if I love the house I have no problem moving on. I will let someone else deal with that
I hear you...
In one year price doubled this is going on all over Miami
Talking about delusional people, holy crap. A condo in my neighborhood just listed for $485K and selling agent gets 1%.
By far I had the nicest condo and I sold for at least $50K below OpenDoor’s identical floor plan but nowhere near as nice upgrades. I listed mine at $429.900K 3 days after OpenDoor bought one for $453K and they tried selling it for $485K. I sold mine and closed in 17 days, Opendoor have lowered theirs 3 times, as low as $429K and still couldn’t sell… and now they are trying to find renters. However, the guy trying to get $485K and pay 1% commission told me that he’s 100% sure “there’ll be a moron who will definitely give me $485K I’m asking, and I will not fix anything!” In other words, he’s calling me stupid for selling mine for $425K. Maybe one day I’ll regret selling mine cheap, but at least I made a Canadian couple happy and I still made 70% profit on it.
I don't know what makes that guy so sure he'll be able to sell his for top dollar if open door can't unload theirs lol
If your considering of buying a house built in the 60s and below look out for electrical and plumbing issues that’s only part of the problems , remember there could be a lot of hidden issues in the walls !
You can live with a lot as long as you leave the asbestos flooring and lead walls alone. Not harmful if encapsulated.
@@windsofmarchjourneyperrytr2823 don't forget the asbestos siding as well just don't get it air born
Not only was the realtor and inspector scamming them, but also those buyers were foolish for allowing this crap. I would never think of buying anything that I could not check every part of it..especially if the owners were hanging around not letting me see things.
Yes they didn't go with their guts and everyone was pushing this sale through
Yeah, those buyers were total morons.
We went without rain all summer long where we live in central Texas . Just in the past maybe ten days we have had rain again and our grass is beginning to come back . It’s been so very dry this summer . And because of the drought conditions our city would only allow us to water once a week . So even with a sprinkler system we were unable to keep our grass green . It went completely dormant and turned yellow for the past two months .
I can understand a seller trying to max the sale for them, we got lucky last year, now its just people that refuse to see they need to lower the price to move it.
Everyone talks shite. Write the offer up. They HAVE TO submit it in US. It's a license yank if they don't. I don't mean you don't work for x brokerage (on contract) anymore, but bye-bye license.
Excellent video.
1) Caveat emptor [buyer beware] when buying a house!
2) Insurance in FLA is becoming a serious issue, and will become quite prohibitive for families now and in the future (even more of an issue than property taxes).
I have no sympathy for any buyer that waived an inspection.
I hear you, not smart. Too desperate.
They may have had to move quickly. The market was brutal. We don't know their circumstances, and nobody deserves to be scammed.
@@MereAYT We do know the circumstances; it's called FOMO. No one NEEDS to buy. One can always rent until buying makes sense. If you waive an inspection, you are scamming yourself. If that's the only way to buy, then buying doesn't make sense and you should wait. The inspection is protection for the buyer, just like a condom is protection. If you forgo the protection, that's on you.
@@MereAYT Then you better learn to do the damn thing yourself.
Have some real estate agents figured out they can make more money fear mongering on youtube? Prospecting is a lot more work, I guess.
If you buy a house without an inspection and an appraisal then that's on you. All the paperwork warns you to do your own inspection. The seller does not have to know and therefore disclose all things wrong with the property.
Yes-my home was staged with furniture in the way of all KINDS of problems. And yes-the entire home has to be gutted and re-done. But, the building itself is solid. No, none disclosed.
What I noticed when I sold real estate there were some very shady, greedy real estate agents with no conscience,they said anything to make a sale and move on to the next one. Buyers always left holding the bag.
Many sellers are playing the "Unknown" game on the disclosure.
Don't believe them. Just give them a decent offer (not imaginary value), get a great inspector and hold seller's nuts to the belt sander for blatant lies and cover ups. People BS. Agents LIE.
You have to ask, how many offers do you have IN WRITING?
A, often 0.
We've seen it all this past year looking for a home. Homes being straight up sold AS IS with no chance of them agreeing to an inspection and people are still buying these places way over priced. It's crazy. We backed out of two deals because the sellers were being sketchy and pushing for no inspection and then one changed the condition report last minute. Big red flags. Be careful out there everyone!
Those are big red flags good thing you went with your gut !
I had one lie to my face on how long it was vacant.
Awhile is NOT over a YEAR!
Our condo policy in St Pete on the Tampa Bay went up 300% which caused a 36% rise in all our Hoa fees at a minimum it is $700 per month for sub 1000 square-foot condos.
I believe it!!
Sell it now..
True! Property taxes can come down. It is based on your assessed value. If that goes down then the property taxes go down. Let the prices fall!! 👍
Yep! I don't mind if prices come down for many reasons!
In Tampa, I see more and more frequent houses "drop price" and "back on market". Houses drop from $20K to $50K (not much). I think it'll be worse by year end and continue to next year due to combination of Ukraine-Russia war, inflation, energy shortages, and layoffs. People bought the house late July might realize more and more home insurance companies left FL which could lead to more inventory.
One of the guys I used to work with rushed into a home during the height of the madness. Found out the wiring was shot and it would cost another $25k in electrical work to fix everything 🤦
Wow that is an expensive mistake!
Dang what city?
Orlando
FOMO hurts
I had a RE agent INSIST a house DID NOT have aluminum wiring. He was a friggin liar and NOT qualified to even go there.
I was right, it does have it.
Michael, thank you for bringing this up! Everyone, always look at past purchased prices. Many are fixing them a bit and increasing by 100%, 50,000 , 30,000 more per year and this is so outrageous, and so wrong! Don’t fall for it, and pay this! These properties do not appreciate at this rate! Get with a realtor who is honest and guides you , and helps you with the biggest investment of your life! I believe a reasonable yearly appreciation is normal. But salaries have not risen to level, to buy these purchases. Please think before purchasing, especially now!
Same thing is happening here where I am in Sarasota Florida
I hope they like that first house you talked about because their going to be keeping it. Someone's been watching to many home flipping shows😆
I moved to FL 1 year ago from Michigan. we bought a house that was recently renovated probably a flip. We moved from out of state and never actually saw the house in person before signing, but had a great agent who gave us video tours and a final walk through. She referred the inspector who was decent but probably not the best. When moving in found out the washer water valves on the wall were actually dead pipes with no flow. Something we didn’t expect, but was never reported in the inspection report, maybe cause there was no washer to test. But other then that we haven’t had any other big surprises. We did have a hard time getting insurance quotes because of the age and style of our roof, which is partially flat, and many insurers won’t touch those types of houses, so we had to go with Citizens. But our experience with them has been good. About 3 months after we’ve been living here we had a sewer leak from the kitchen to the exterior drainage because of a busted connection. The citizen adjuster was nice and responsive to our claim. We had to get whole new laminate wood flooring because the leak was under the floor and bubbling up. The repair company citizen contracted was a good team, nice workers, and made sure all the work they did was up to our expectations and we were satisfied. Basically the total to repair everything was around 12k and all was covered by Citizens besides our deductible. But we ended up getting a credit which covered that because the quote included to repair the floor in the master bedroom because it was the same material as the kitchen and living room, but we choose not to have it done because it was perfectly fine and not necessary. But overall our experience with Citizens has been good with no problems.
Glad to hear that your experience with Citizens was good Steve! And yes probably the inspector never caught the washer issue, bc there wasn't a washer at the time of inspection to test it.
I have seen properties in Miami Beach going for 4 times since last year. Going down 20% reduction won’t even bring the price back to where it was a year ago.
Even this one, the property owner can walk away with profit at the reduction of 20%. How can you buy last year to price it twice in less than a year?
The mentality is just out of this world. Good thing is they aren't going to get it
Who's going to buy it. The interest rates effects the monthly payment. These gougers needed the low interest rates in order to have the desperate buyers to qualify. It looks like these homes were bought with investment money so theres no mortgages to pay but the ROI is going to weigh heavy. How long can these homes sit? If people take
the position "The longer you keep the prices high the more time I have to build my down payment ". The buyer will end up with a good deal.
The tell tale sign will be the numbers that show up day after tomorrow.
If people commit to buying only from a foreclosing entity the prices can go real low
I think this is just the beginning of what we see a reduction of 20% off. Let's watch it next summer.
@@InobuZ
Unfortunately this world is full of inpatient idiots with money. It is a bad combination. I still see many transactions that just make no sense at all.
I mainly buy income properties. But the sellers always lie about the income mixing the actual market to Pro Forma in their dream. Even then some times the calculation like GRM to cap rate just don’t make sense.
I know one was bought at $2.5 million when the owner was about to take my offer of $1.7 million. Even at $1.7 million at 3.5% business loan, it was barely making sense. And the buyer didn’t even a single mortgage payment. Within a year, it was foreclosed and auctioned off at $1.6 million. The mortgage company was an idiot, and they bought back the property to keep until market turns around. But the buyer was also an idiot for laying down 20%. I suspect there is a lot more going on here. If it wasn’t the fraud, not sure what it was.
@@singlefather01 little by little the pieces of the puzzle are showing us the picture. The homes you see for sale today were bought during the pandemic. That indicates a plan
was being executed. While some people were worrying about getting a mask others were buying up homes.....
Don't forget about the quantitative tightening tripling, from 30B per month to 90B this month. The last time they did thing in 2019, the market tanked and the interbank lending went to 10%. They've been using REPO and reverse REPO to keep liquidity in the markets, which have now ballooned to over 2 trillion. No mention from the Fed about phasing out that program........
If they actually do the tightening is the big question. That is the one part of all this I am skeptical on bc so far they havent kept their promises on that.
The FED has a major credibility problem and they know it. That's why I think they will be raising rates longer than people expect and this is just the beginning. It looks like people are just now waking up to the reality that there will be no pivot until something serious breaks. It is what it is
At least people can get insurance for their homes in America. The issue no matter what type of insurance, make sure that it has a good reputation for helping out if the time comes to make a claim. When I went to Ischia, a beautiful island outside of Naples, Italy earlier that year had been an earthquake that desimated homes. Unfortunately, as locals told me there is no insurance for those types of natural disasters. So buyers beware.
We should all buy a house in Detroit , throw a palm tree in front of it and sell it for a mill. Someone might buy it.
😆
its always a great idea to take a ride by of a property you find online. and stepout and walk around it if nobody is living there and it seems ok to do so. the pictures are usually not what you see in real life. sometimes yes, most times no, even if it is just the surrounding area. the pictures are always taken in the most advantageous way. just an fyi. then if it looks good you could call up to see the inside and get a detail listing on it.
I keep telling people to go look at these listings just like you are doing. There are no traditional home owner sellers. The buyers from 2020 and 2021 are the iBuyers and Realtors. These same people are the sellers today. They tried to corner the housing market and caught themselves. That single home you are looking at jacked up the home values in the neighborhood. Redfin, Zillow, Opendoor and the like would buy these homes. Flip it and raise the home value in the whole neighborhood. Look at the cars in the driveways. Those are not cars that would be in front of a $1.2mil
home. The neighbors are showing you the true income bracket and its not $1.2mil. Its a fabricated number from Zillow, Redfin and the MLS....... This is Investment and Realtors linked together.....
Thats exactly right!
About 15 years ago, after watching hours of DIY Network and Home & Garden shows on buying homes, I ended up creating a list of things to check on when buying a home. It ended up be 3 columns on 1 sheet of paper.
Is this something you could share, or if you could advise on the top 10 items that you were surprised by? Thank you!
Can I also have a copy of that sheet
You should send it to Michael for him to read off on a video.
I want to buy the checklist please. I'll pay $99.99
Glad we have Prop 13, here in California, so we can keep our property tax low, until we sell (don't know if that will ever happen.) We were able to lower it once, during 2008. Always a great video, Michael! I hope you guys get some rain soon!
Yes it is good you guys have prop 13 over there. We're still in pretty good shape here with the Homestead situation with the 3% cap per year. I hope for the rain also but at the same time it's been convenient not having it since it makes the videos easy to make lol
Everyone freaking lies, it is always 'bait and switch." People lure you in, then offer something different, then gaslight you into thinking you are crazy.
If the seller lists the property as is are they still liavle to disclose the issues of the property ?
Yes they still have to disclose known issues, and the buyer can decide if they want the place as is with the problems or not.
I purchase a ocean front condo and I was not informed that there was a upcoming major accessment for balcony salt errosion . Luckly i did not have intrusion into my unit. The accessment was 20K . I contacted an attorney , he said it was in the grey area,,,since the condo had not done an official vote for the project at the time of my closing, It worked out for the best i sold the unit 15 years later for a nice profit, but at the time i was devastated .
That happens all the time and yes that is correct. If it wasn't officially in the works yet then the seller was right and not disclosing it as at that point it was still a maybe. But we do have a section and addendum for the contracts here in Florida where sellers need to disclose if there are any pending special assessments they are aware of.
I almost bought a lemon. I spent a lot emotionally and financially finding, falling for, inspecting, and reconsidering that home before throwing in the towel on discovery of undisclosed foundation issues, faulty wiring, and sewer excavation history. The disclosures had been clear and the seller had no knowledge that someone had jackhammered the crawl space to dig up the sewer.
Stupid point? NEVER, EVER let anyone you don't know like your mother wander around a property and do ANYTHING.
Follow them and make sure it's all perfect BEFORE the money.
I have to wonder how many localities got addicted to the insane amount of tax revenue they were taking in due to the real estate bubble. So now they can't afford to go backwards. Will they just have to raise their rates to make up for the home values decreasing?
I have seen from other sources that many of these suburban developments depended on initial help from the federal government to help pave roads, lay electric and gas lines etc for the developments. They claim that once the bills come due to maintain all of those items that taxes will have to raise to levels that are impossible to actually pay due to such low tax payer density per mile in these locations. I wonder if this is true as well?
Thanks for the channel, one of my favs!
I'm sure every locality will handle this differently, but at least here we can see that when values go down, so do the taxes.
That first listing represents almost all of Martin County. They’re plenty of buyers that will buy one here and there, but most sales in the area have come to a complete stop. I’ll live in a tent before I pay double for a home that sold months ago for half. Some homes in Sewalls Point are 5 times what it was recently purchased for. It’s the same group of people and they ain’t from Florida.
I'm with you these prices are outrageous and I can guarantee at this point people are going to be getting them
I think part of the problem why some of these sellers believe they can charge “top dollar” for lower quality properties is that they don’t have enough financial literacy to understand that their property isn’t a rock solid savings account like they were promised because of a false narrative spun in the 80’s. When the reality is that most real estate is a risky investment like a volatile stock. In good years with scarcity you can sell shabby or middling houses for numbers that look like phone numbers, in “bad” years it’s a buyers market and you have to hope a buyer wants what you’re selling.
I was considering a home in Portland, OR and had a home inspection done. There was a settlement on a product called Hardy Board siding. The seller took the money from settlement, but never replaced the siding. Once my home inspector caught it, they offered us a $5K discount. It would cost over five times that to replace and paint the new siding. We declined. I wonder if they disclosed it to future buyers.
That's a perfect example of catching a seller in a lie!
Or maybes %94 of home buyers are liars ;)
Can’t wait to see how many homes sold in August 2022 . Hope you mention those numbers when the tally is in .
Another good video thanks a lot
You're welcome John, thanks for watching!
How do you properly price an offer for a home with zero comps? For example 4k sq ft 5br 6ba .4 acres on ocean sw FL. Built 2018 asking 11 mil?? Tia
Generally you would still take the nearby homes sold price, and factor in the sqft of the home and lot and multiply it from there but when a property is unique, it is a bit of a guess, and you still want to use nearby sales because thats what an appraiser will do
Uh that doesn't look like a Ritzy neighborhood and the house looks like a $100k in an expensive area. 😁
Your vids are actually relaxin to watch lol keep up da content bro.
I appreciate that!
PropTaxe...reduction in CA too. BUT you must request it.
That home you showed for 1.2 Mil will probably still sell unfortunately. I'm sure all the remodeling cost a lot but not twice the value!. I would hate having to try and insure a house down there now. Thanks for the info!
Property disclosure forms aren't worth the paper they are printed on.
First house is an old bread house. Stale! Inspections usually uncover undisclosed issues. Sellers should disclose what they know or should have known regarding the property.
Pfft. So, you're new here, huh?
You can’t even trust the inspector, he told me the roof was good for 14 years and the roof leaked like crazy after I moved in. I wonder if the inspector was good friends with the realtor and did him a favor. I spent 50,000 for the roof unexpected and I didn’t have enough money to finish the master bathroom.
You never know, sometimes they are in cahoots, sometimes the inspector just sucks.
That's kinda steep for a roof???
$50k for a roof!?!?!? How big is your house 10k sq/ft, or was that including damaged ceiling and insulation repair aswell? I paid $10k for mine but it was a major upgrade from my original shingles and roof design. Was your roof tile or wood, I knows those can get expensive, but $50k seems like alot.
@@markcowan3366 It IS way overpriced for the average house. We paid 7k for a 3 story flat and maybe another 7 for a smaller peak roof.
50k is bull. Even if major rip-off of old roof, maybe 20-25k on big flat roof.
This is why FL should make both parties use attorneys like we do in Illinois. An attorney representing the buyer will request a statement from the insurance company showing claims in the last 5 years.
You don't have to have an attorney in IL, unless it was changed.
I moved into my Texas neighborhood in Jan. 2022. My neighbors told me on the driveway at that time they are getting ready to move. Eight months went by. They just moved in mid-August. They have now listed their vacant home for $360,000 in the midst of a buyer's market. I am dumbfounded that they didn't bust a move in Jan. It will be interesting if they need to do price drops, and if so, how many.
This isn't a buyers market
@@localsonly-ju6fc Yes sir, it sure is. Transitioning more and more each day into a buyers market.
Transitional, maybe years away
@@naturelover2292 what buyers? Whos buying when rates are 6 and home prices havent even come down
@@adventurebabyboomer7318 No, no its not. Lol. I'm buying. It is most definitely NOT.
Another Great Reality video, way too much quick buck greed out there. People always forget, owning property, is impaired, the cost of fixing things. Ac units go out, wood rots, if you're not handy type, contractors are very expensive.
You'll learn damn quick at their prices.
Make some contractor friends and cook or barter stuff. Anyone who picks up at midnight, or runs over from another state needs a sizable cash tip. They're worth even a few hundred bucks if you can leave then alone to work and not have to literally babysit them (which you always have to do, they'll screw up)
Doesnt the buyers have 30 days to cancel the purchase after signing?
30 days no. In FL your inspection period is typically only 7-15 days, depending whats agreed. Usually after that you only have your appraisal contingency (if you have on) and financing contingency as outs.
@@MichaelBordenaro dang good to know. Thank you
Michael, why u got to be so honest bro...cause that happened to me lol, purchasing a fixer upper and slowly fixing it up. Water pipe busted, a.c. don't work, etc. etc....I put 20k so far and now low on budget. Life sucks sometimes for the lack of knowledge, but keep these content coming, learning a lot from u. One good news though is my wife be done RN soon, so we'll bank from here so now question is should I sell the current house and buy new house or stay and put another 60k and modern up this old house of mine...🤔
Haha its my nature I guess 😄. That is a tough question for me to answer and definitely would not want to just give you a quick one in the comments. Lots of other things to consider whether it makes sense to sell and move or hold and remodel
"They'll have to lower the price to under a million to get it sold." LOL, boo freaking hoo. They paid $515k for it! That's still hundreds of thousands of dollars in profit.
Amazes me RE prices could double in a year. Reminds me of the tulip mania. What a super bubble. Also of note that the Fed does not set longer term rates, they only follow the trends. This has been charted a number of times. They only move with the markets not ahead of them.
Taxes go down as property values drop, until they raise the tax rates.
Where is this guy walking to?
No where! Just showing the neighborhood and whats for sale
I am definitely not shy to inspect as much as I can as a potential buyer having bought several properties for family members and myself in the past. Before getting out an inspector, I go into every cupboard and inspect walls for potential water damage and mould issues (my eye usually spots places where people have done patch up jobs), I climb up a ladder and give the inside roof a quick once over, I look for cracks in the foundation and walls, I test all the taps and toilets in the house plus makes sure that light switches and plugs are working. (there are plenty of TH-cam videos directing standard buyers in what to look into on their first visit). If you purchase online without viewing it then get the realtor to video record everything (and sent on WhatsApp etc so you have records). The only time it is acceptable to purchase a place that is run down and in need of care is when it is the intention of the buyer to buy it at a much lower rate and then do it up (with transparency on both sides).
My aunt had committed to purchasing a house and asked me to come in and look it over. The roof was lopsided and would have had to get repaired the moment it was bought and there were damp and water damage issues which they neglected to disclose. Luckily, they opted out of going the legal route and allowed her to pull out the deal last minute. Always do your due diligence, there is a lot of information available on the web for people to research and educate themselves with so there is no excuse!
Ps- love these straight down the line videos that highlight important issues that many other realtors would prefer you didnt know.
You are definitely correct on property taxes in Florida. In 2007 my property taxes were over 5000. After the crash they went to under 3000 and never really came back up. When I sold in March of this year it was only 3200. Not sure why but I was not complaining.
Thats a great example of how property values going down can benefit current owners
Real Estate brokers have a fiduciary responsibility to communicate correct process and due diligence to buyers. We can expect a rising lawsuit frenzy against greed-fueled brokers nationwide!
PFFFT! LOL.
True story. MCM suburban Chicago.
Updated and zoned HVAC!
Reality? A 1993 unit, one of two and humidifier does not work.
"Zoned" my a**.
They offered 11k to replace tons of STOLEN MCM stuff AFTER the contract!
I told them kiss my a**. The stsrburst door plates alone can be 550 EACH. 4 are missing. Custom drapes, 500+ a panel. Plus sheers and rods. I don't even care about the sheers as much, but I'm NOT eating the difference of custom made drapes (huge windows) to cheap crap-- that's not what was there.
We're fighting for 20 when all is said n done.
Jamie Foxx was going to buy it. I was heartbroken. I saw it first. Could quite swing it. Then it came back online.
He dodged a huge bullet not dealing w these LYING, THIEVING, conniving sellers!!
If I was them I wouldn't pay the mortgage and take the bad credit it's a option.
I got a VA loan as a custodian/janitor to buy a manufactured home Back in 2014 and had plumbing damage from the home itself out to the street which cost me $7500.00 to fix that I was not expecting to pay when I bought my Home back in 2014. They had to dig up the ground and replace the plumbing from the home out to the street. Had I not been able to get two different loans back then to pay for the work to be done, they could have condemned the home.
Interesting that as a seller of three houses n Virginia, we’ve never had to fill out a form regarding home issues. Just lead and termite disclosure.
I would be surprised to learn if they don't have sellers disclosures they are in Virginia. Although there are situations that I've been through in the past where the buyer never request one and the seller doesn't give them one
Lead?? Everyone before 1978 has lead. Asbestos in flooring would be more likely and dangerous in old houses as if crumbles and warps.
Here in New York the house could go down to three cents and the property taxes still go up they never lower them here no matter what
Good to know!
Time to go. F that
Anyone stupid enough to pay that for this home with no land around it is high on something.
We fired our seller agent because she distorted the listing and refused to disclose a pest issue we have here in Pennsylvania. Pulled the listing and arranged a private sale. She was all worried about not making a sale and getting her commission - she ended up with nothing and we sold at our listing price by being honest and doing the two repairs and remediations we knew about and that the inspection disclosed.
Haha and they're often not even taking care of the houses/yards. I want to make a million $ but am too cheap to pay for lawn care. Have fun with the Ikea kitchen. Only the best in these million dollar listings!
😆
IKEA has some decent stuff if you take care of it.
There's a lot of foreign investors that are buying properties all over FL (this is data). They are millionaires nor Real State Investment Funds that bet on high speculation, so 500k is change for these (bi)millionaires, so they have margin to speculate and wait.
I bought a house in Pennsylvania once and the seller couldn’t move out until spring because they were supposedly renovating a house they had crosstown but the truth of the matter was the furnace was shot and also they had lied about all the wiring and what they were doing was trying to get past the cold season when you would be using your water heater in your furnace and you wouldn’t notice until they were long out of the picture and it would be harder for you to recover or catch the fact that there was a problem there I was also very young at the time and they get the realtor it was the last sale of her career and she claimed I didn’t need an inspection because the veterans administration loan did not need an inspection because they would not let you buy a bad house well at that time that was not true nobody monitor later on I bought a house maybe 20 years later where I had another realtor what happened is the seller disclosed that I was on city sewer what in fact I had a septic and that ended up in a lawsuit and as it turns out I was better off to drop the case and and deal with the septic but trying to sue a realtor and getting involved in the mediation process basically realtors are totally insulated you can’t come back on them so you better do all your inspections and double check because inspectors are only liable for their fee- not for mistakes-recently in Ocala Florida I was lured into a deal and I found out that the water was toxic beyond the federal standards and I had a realtor offer me $800 for a purification system I did my research and found out that he was trying to keep me in the deal because to do the water properly would cost between four and $7000 and so I walked on that deal but it’s taking me a lot in life to learn that they all lie and buy every single inspection available plus have industry friends to also walk through with inspections.
That's a lot of favors. Hage them show you what to look for to point out red flags.
Me: I peek in toilet tanks and inside all sinks. I've seen expensive new cabinets with 3.00 old metal p traps held together by silver tape.
450k. Time to go.
.there's got to be way more bad shite hiding in there x
Hey Michael, those property taxes seem high for sure in Miami, since your taxes are based on mils, how many mils are assessed your area, and the homestead options will exempt so many mils
Yes they are high and Miami Date is the highest property tax county in Florida. But at the same time I still feel OK about it considering people are writing me telling me that they pay that much or more for a similar property in other states and they still have to pay state income tax on top of that ! Curious to see where the homestead exemption will get me