Frugal House Purchase

Frugal House Purchase

Joined: May 25th, 2006, 12:05 am

April 16th, 2012, 5:37 pm #1

This was too good not to share!

My nephew and his wife purchased a house this week. It's a foreclosure - in town, on a lot, with paved road on 2 sides, near the school. The house is rock, 1800 square foot, and 70 years old, definately needs some work, but it's foundation is sound, and the roof doesn't leak, 3 bedroom 1 bath, and large garage, and lot. They placed a bid, and found out they were home owners. $24,000!!! They are thrilled!

My nephew's FIL has built his 2 previous homes, and nephew has assisted with both, they are looking forward to working this gem over!
glendaMO
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Joined: October 29th, 2005, 6:29 pm

April 16th, 2012, 7:57 pm #2

how did they find it? Did they use a realtor? go to an auction?
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Joined: December 1st, 2006, 5:36 pm

April 16th, 2012, 7:58 pm #3

This was too good not to share!

My nephew and his wife purchased a house this week. It's a foreclosure - in town, on a lot, with paved road on 2 sides, near the school. The house is rock, 1800 square foot, and 70 years old, definately needs some work, but it's foundation is sound, and the roof doesn't leak, 3 bedroom 1 bath, and large garage, and lot. They placed a bid, and found out they were home owners. $24,000!!! They are thrilled!

My nephew's FIL has built his 2 previous homes, and nephew has assisted with both, they are looking forward to working this gem over!
I wanted to do that 20 yrs ago. Right now, I'm not in good enough shape to do it. Byt the time I am, I'll be too old, LOL.

I was watching a show on DIY yesterday called Rehab Addict. She does what I wanted to, buy old houses, fix them up and sell them. She's in the Minneapolis area. It made me a little sad to watch.
LisaCNC
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Joined: November 20th, 2006, 5:53 pm

April 16th, 2012, 8:20 pm #4

This was too good not to share!

My nephew and his wife purchased a house this week. It's a foreclosure - in town, on a lot, with paved road on 2 sides, near the school. The house is rock, 1800 square foot, and 70 years old, definately needs some work, but it's foundation is sound, and the roof doesn't leak, 3 bedroom 1 bath, and large garage, and lot. They placed a bid, and found out they were home owners. $24,000!!! They are thrilled!

My nephew's FIL has built his 2 previous homes, and nephew has assisted with both, they are looking forward to working this gem over!
Best of luck to them in their remodel work.
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Joined: May 21st, 2006, 4:46 am

April 17th, 2012, 2:31 am #5

This was too good not to share!

My nephew and his wife purchased a house this week. It's a foreclosure - in town, on a lot, with paved road on 2 sides, near the school. The house is rock, 1800 square foot, and 70 years old, definately needs some work, but it's foundation is sound, and the roof doesn't leak, 3 bedroom 1 bath, and large garage, and lot. They placed a bid, and found out they were home owners. $24,000!!! They are thrilled!

My nephew's FIL has built his 2 previous homes, and nephew has assisted with both, they are looking forward to working this gem over!
What a deal!
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Joined: May 25th, 2006, 12:05 am

April 17th, 2012, 3:15 am #6


the insurance company wants to insure the house for $150,000. They're having a hard time wrapping their heads around why the house needs to be insured for more than it's worth.

The house was up for auction, and they placed a bid.

I knew everyone here would be as impressed as I was with their story.
glendaMO
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Joined: October 28th, 2005, 8:35 pm

April 17th, 2012, 3:28 am #7

Not bad for one's day work. LOL.
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Joined: May 21st, 2006, 4:46 am

April 17th, 2012, 3:53 am #8

the insurance company wants to insure the house for $150,000. They're having a hard time wrapping their heads around why the house needs to be insured for more than it's worth.

The house was up for auction, and they placed a bid.

I knew everyone here would be as impressed as I was with their story.
The insurance amount is likely the replacement cost, and they couldn't replace it for what they paid for it. If that house would cost $150K to replace, I'd say they got the deal of the century!!
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Joined: May 30th, 2006, 2:01 pm

April 17th, 2012, 2:06 pm #9

Our house is insured for more than it is worth. It would cost more to rebuild it than it would sell for due to the foreclosures in our neighborhood.
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Joined: May 25th, 2006, 12:05 am

April 18th, 2012, 1:01 am #10

The insurance amount is likely the replacement cost, and they couldn't replace it for what they paid for it. If that house would cost $150K to replace, I'd say they got the deal of the century!!
At 22 years old, they're just having a hard time grasping why they should have to pay as much for insurance than for the house payment, lol! The house payment - on a 10 year note is $200/month. (They are hoping to pay it off in 3-5 years), and the insurance is $900/year.

And yes, Maxine, I think they got a GREAT deal - the house needs some basic work, but it's mosty some remodeling to update the house, lots of paint, new carpet, and such, but ,it seems to be soundly built, no big $$ projects that anyone has been able to forsee.

glendaMO
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