Real Estate - where we stand - what should I do? (Fairfax: sales, foreclosures)

[goldenmom7500]

Originally Posted by spidercharm

Thanks for all the comments. Can someone comment on old houses plz?

Agree with the above post, but not sure what you mean ... do you prefer an older home and want recommendations of neighborhoods, or are you wondering if an older home is a good/better investment than a newer one? (sorry I'm just confused)

[normie]

We had an older house, but it was in California so I don't know if my experiences are necessarily helpful. Also, our house wasn't really THAT old (1970's).

In general, I prefer a newer home becuase they require less maintenance. However, if you find an older home that's been well maintained you will have a wonderful pace to live.

Pros: There's a certain amount of charm to an older houes, especially if the former owner customized it. The landscaping is mature.

Cons: There can be a lot of problems with mold, mice and termites. Some features of the house might not be up to code or considered safe by today's standards. For example, the spokes on a staircase in and older home may be 4-5 inches apart--not considered safe by today's standards. Some features such as a garage or laundry room may be missing.

[El General]

Don't forget lead, asbestos, radon, fuses, and dust.

[spidercharm]

Originally Posted by goldenmom7500

Agree with the above post, but not sure what you mean ... do you prefer an older home and want recommendations of neighborhoods, or are you wondering if an older home is a good/better investment than a newer one? (sorry I'm just confused)

I don't prefer an older home; but I know that in the budget we have we can get one lot closer to city where we work and would end up working if/when we change jobs. I am referring to older Vienna/Fairfax SFHs/THs. So, my point of comparison is getting new TH little far (Fair Oaks/Chantilly/Herndon etc) vs getting older SFH closer (Vienna/Fairfax).

[Margery]

You have a baby on the way, you may want a yard when he/she starts walking. Also, with a new baby you don't want to spend a lot of time commuting if Mom is home alone with the baby, she will need some relief and backup especially in the first months. If she goes back to work you may want to be near child care or on public transportation if you have someone come in. You want to also consider the ages of the children in the neighborhood for future playmates and company of young parents in the same situation as you. My whole point is there is more to consider than the age of the house. In this market you should be able to find a neighborhood and home that suits you. If the house needs work (roof, HVAC, plumbing) your agent should be able to get the work done by the seller before you move in. An established neighborhood has much to recommend it. Don't look at a home as merely an investment, you are going to live there and raise your child there. This is corny I know, but a home should speak to you and you should find one you love. You have to balance the logical reasons with the emotional reasons and you will be happy there.

[ACWhite]

Spider, regarding "older" houses, here are some of my perspectives, which may or may not fit for you.

First, the facts: I have owned 3 SFHs - two in a much less expensive city, and the one I now live in, in Arlington. At the time I bought them, the first was 60+ years old, the second was 18 years old, and the third was exactly 60 years old and badly neglected, having been rented for many years. Some observations and opinions:

1) Get the house inspected by an ASHI licensed inspector who is known to be a "deal breaker." Do not rely only on a Realtor's recommendation of a qualified inspector.
2) The costs of getting just about any repair or upgrade done in the DC metro area are much higher than they are in most cities. Try not to underestimate how much it will cost to fix things - for example, if the inspector tells you a new furnace will cost about $2500 installed, understand that this probably means the cheapest, not very efficient new furnace installed by people who aren't necessarily the best qualified--call around and get estimates--they are very likely to be higher for the level of quality that you will want. Make sure your offer to buy is low enough to take these costs into account. My Realtor and I grossly underestimated these costs when I bought my third house; if I had to sell now I would not get back what I put into it.
3) Try to clarify in your own mind whether the changes a prospective house needs are repairs and upgrades to make it reasonably functional vs. cosmetic upgrades that you could do yourself or postpone. Try to assess what you have to do right away and what can wait. Add at least 20% to the mental budget and recognize that the inspector won't see everything, and that some things break that were working when you bought the place.
4) Negotiate a home warranty with the home seller, but recognize that some warranty insurers try to weasel out of paying for some things and fighting them is costly, so make sure you will have some savings for emergencies, even though you have a warranty.
5) Repairs and upgrades aren't just a matter of money; they are a matter of time and nuisance. If you and your spouse are really busy with jobs and you aren't permitted to work at home some of the time, or take flexible hours, it's going to be difficult for you when you have to meet repair people, when they don't show up the first time, or when they don't do it right the first time and have to come back again.

The huge advantage of buying a fixer is that you can do some things to your own taste and at your own pace. For example, you buy the new appliance with the features that YOU want, not the one year old appliance that the previous owner wanted. And, if the house is structurally sound but just ugly, with bad interior paint colors or prior owner's clutter, etc., you can get a good deal because many buyers can't or won't look beyond this, or they overestimate what it would really cost to make the house look pretty to them.

Two more opinions:

1) I would try to get a house that is big enough for your anticipated needs. It is very, very expensive to sell or add on, after just a few years because you need more space. In a cheaper metro area, this isn't nearly as big of a factor. And you may not have the option of adding on because you may not have enough land, or don't want to deal with the noise and invasion of privacy, etc., with a new baby.
2) I know you are not considering Arlington but it is a great place to live. I chose it because I utterly detest commuting and it wasn't as expensive when I bought here. But I have found that the county is very competently run, services and schools are great, and neighborhoods really are distinct (in mine people do know each other, stop and talk, help each other out, etc.--but in another neighborhood this might not be true and you may not want the same characteristics), with a lot of different types to choose from. My point is to agree with Margery that the neighborhood is important and while you are shopping for a house, be sure to recognize that you have a lot of choices of neighborhoods, whether you are looking in Fairfax, Vienna or anywhere else.

Hope this is helpful.

[spidercharm]

Thanks ACWhite and Margery. This is very helpful.

In my price range, what neighborhoods can I consider in Arlington where I can get relatively new SFH/TH? We like to be in suburban area and prefer to be close to shopping malls and retailers like COSTCO/Walmart etc. And of course good schools and closeness to metro is highly desirable.

Originally Posted by ACWhite

Spider, regarding "older" houses, here are some of my perspectives, which may or may not fit for you.

First, the facts: I have owned 3 SFHs - two in a much less expensive city, and the one I now live in, in Arlington. At the time I bought them, the first was 60+ years old, the second was 18 years old, and the third was exactly 60 years old and badly neglected, having been rented for many years. Some observations and opinions:

1) Get the house inspected by an ASHI licensed inspector who is known to be a "deal breaker." Do not rely only on a Realtor's recommendation of a qualified inspector.
2) The costs of getting just about any repair or upgrade done in the DC metro area are much higher than they are in most cities. Try not to underestimate how much it will cost to fix things - for example, if the inspector tells you a new furnace will cost about $2500 installed, understand that this probably means the cheapest, not very efficient new furnace installed by people who aren't necessarily the best qualified--call around and get estimates--they are very likely to be higher for the level of quality that you will want. Make sure your offer to buy is low enough to take these costs into account. My Realtor and I grossly underestimated these costs when I bought my third house; if I had to sell now I would not get back what I put into it.
3) Try to clarify in your own mind whether the changes a prospective house needs are repairs and upgrades to make it reasonably functional vs. cosmetic upgrades that you could do yourself or postpone. Try to assess what you have to do right away and what can wait. Add at least 20% to the mental budget and recognize that the inspector won't see everything, and that some things break that were working when you bought the place.
4) Negotiate a home warranty with the home seller, but recognize that some warranty insurers try to weasel out of paying for some things and fighting them is costly, so make sure you will have some savings for emergencies, even though you have a warranty.
5) Repairs and upgrades aren't just a matter of money; they are a matter of time and nuisance. If you and your spouse are really busy with jobs and you aren't permitted to work at home some of the time, or take flexible hours, it's going to be difficult for you when you have to meet repair people, when they don't show up the first time, or when they don't do it right the first time and have to come back again.

The huge advantage of buying a fixer is that you can do some things to your own taste and at your own pace. For example, you buy the new appliance with the features that YOU want, not the one year old appliance that the previous owner wanted. And, if the house is structurally sound but just ugly, with bad interior paint colors or prior owner's clutter, etc., you can get a good deal because many buyers can't or won't look beyond this, or they overestimate what it would really cost to make the house look pretty to them.

Two more opinions:

1) I would try to get a house that is big enough for your anticipated needs. It is very, very expensive to sell or add on, after just a few years because you need more space. In a cheaper metro area, this isn't nearly as big of a factor. And you may not have the option of adding on because you may not have enough land, or don't want to deal with the noise and invasion of privacy, etc., with a new baby.
2) I know you are not considering Arlington but it is a great place to live. I chose it because I utterly detest commuting and it wasn't as expensive when I bought here. But I have found that the county is very competently run, services and schools are great, and neighborhoods really are distinct (in mine people do know each other, stop and talk, help each other out, etc.--but in another neighborhood this might not be true and you may not want the same characteristics), with a lot of different types to choose from. My point is to agree with Margery that the neighborhood is important and while you are shopping for a house, be sure to recognize that you have a lot of choices of neighborhoods, whether you are looking in Fairfax, Vienna or anywhere else.

Hope this is helpful.

[ACWhite]

Originally Posted by spidercharm

Thanks ACWhite and Margery. This is very helpful.

In my price range, what neighborhoods can I consider in Arlington where I can get relatively new SFH/TH? We like to be in suburban area and prefer to be close to shopping malls and retailers like COSTCO/Walmart etc. And of course good schools and closeness to metro is highly desirable.

Hi, Spider, everything else being equal, prices will be higher in Arl. than in Vienna/Tysons/Fairfax because you are closer to DC. If you don't need to be close to DC (I'm not sure what your reasons were for being interested in Vienna/Tysons/Fairfax, but if your job(s) are in that area, Arlington may not be a good choice for you. The neighborhoods in 22205 (near the East Falls Church metro) are the furthest west in North Arlington. I'm not very familiar with the townhouses that might be available there but HomesDatabase is a good place to start a search. Because of high land prices, I don't think you'll find a good SFH that has been updated for less than $500K in North Arlington.

Another alternative is Fairlington, which is a very large and nice older townhouse/condo community around Route 7 - part of it is in Alexandria, I think. There are mature trees everywhere. There are a lot of people in their 30s living there and a completely updated 2 bedroom would probably still be less than $450K. These townhouses have small patios rather than yards, though, and I am not sure if they have 3 bedroom units, so if you are planning to have more than one child, I am not sure these units and their outdoor space will be large enough.

I know someone who commutes to DC from the Dunn Loring area, and he says it is no sweat and he likes his neighborhood a lot. There are newer homes there, but they can be quite large and expensive. I believe prices dropped there in the past 2 years. So it might be worth looking into.

I really hope you will find something you like a lot!

[El General]

I don't think those home warranties are worth the paper they are written on. Read the 3500 words of small print. I know someone, whose gas pack A/c, heater was condemned during the warranty. They gave him 850$. Many parts of the electrical system are also, not included.

[car54]

I like old construction. Real brick (not veneer) on all 4 sides. Exterior walls that can't be breached with a few well-placed strokes of a utility knife.