Profile picture for mirzainv

BIGGEST MISTAKE OF MY LIFE!

In june of 2009 I sold my house in Glendale Heights for $225k after closing costs it came out to 201k (....had I known that it would cost me 10% just to sell my house I would have never done so!  The real estate agent we had was a terrible agent (Bill Seremak) who steered us wrong and advised us sell the house at the bottom!  Today the house is worth $265,000 so you can imagine how I feel now....


I have 175k and no house for my family.  What are your suggestions on what I should to do ??

I was thinking of taking this money and investing in foreclosures and creating some positive cashflow...my main focus is to grow my money SAFELY! 



  • September 17 2010 - US
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

Answers (28)

Mirzainv, Now that it has been established that your house did not go up in value but the market actually declined since you sold your house, what you see online and on Zillow is not true gospel and that we all learn from mistakes, what is your question?  What are you looking to get advice on?  I think you are still looking to get advice.  But I am not certain if you are looking for investment advice or if you are looking advice on pruchasing a home for your family.  Depending on what you are seeking advice and what you want to do, If you are looking to buy a house for your family to put down 20% as a downpayment on a home for your family so you don't have to pay PMI and the rest hold onto and REALLY research the market, ie real estate, stocks, bonds, etc. Then depending on your risk propensity and desired ROI move forward with a sound investment.  Feel free to pose questions in this forum.  Thankfully you are experienced individuals from around the country that can add value and give you insight. 

One of the things you can look at in terms of investment is rental market.  I don't know your rental market. You can easily research it by looking at your local newspaper, craigslist and calling property management companies.  But if the local market commands $800 a month in rent for a two bedroom apartment, you might want to consider buying a douplex.  With 20% downpayment on a property that is about $100K your payments might be around $800 a month.  One unit will pay for your mortgage and the other can be your income.  Of course these are general numbers. Do not take them to be actuals.  Consult a local person to get actual numbers in your area.  Also my numbers assume you will handle your own property management and the proposed douplex does not have HOA dues.  This should give you the general idea.  Be specific in your questions here and good luck. 
  • December 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Mirzainv, are you interested in tax lien investing? Regards,
  • December 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

regardless of the market you can benefit from this. its a great time to "move-up".  meaning that you may have sold your house for less money than you could have gotten a few years ago but if you are buying now you can get more house for your money than you would have gotten a few years ago and with interest rates at rock bottom you really cant lose.  if you plan on owning your next house for atleast 5 years you shouldn't worry about whether your value goes up/down a few thousand here and there.  Real Estate is a great means of wealth building on a long term basis
  • October 24 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Please do not take what you find on the internet as the gospel.  Property values have not gone up in many markets.  If you are getting your values from the internet know those are estimates not actual appraised values of homes or comps sold.  Any agent worth their salt have to give you a seller's closing costs estimates.  In there it would outline the amount of money you would be left with it your property sold at x dollar amount.  Go back to that estimate and see how far the agent was but if you agreed to any seller contributions, know that was your decision to do so.  Consider this: what if you hadn't made the decision to provide seller contributions if you did?  Would you house have sold? 

It seems you are making a statement by stating seller's remorse and posing an investment question.  Should you invest now?  Perhaps the answer would be to do your research.  Know what you are getting into.  Take into account all your costs so that you can make an informed and educated decision when it comes to buying another property so that you don't loose the money you have today.  Good luck!
  • October 18 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for klarek the realist
I am not aware of any part of the country where the market peaked in 2009.  Nationally we peaked in 2006, and 2005-2007 for all other areas.
  • October 18 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for droopyd
May I ask why you sold in the first place if you were concerned about where your family was going to live?
  • October 18 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Blue Nile
2007 was the peak of the market in my area.

And if he bought back now, he would not even cover the Realtor and broker commissions.

In most of the country, the market is still dropping, so, why would anyone recommend buying back too early, unless they just had a vested interest in more sales for more commissions?

  • October 18 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

I understand your frustration, but just because you feel the house now worth $265K, doesn't mean you would get the amount if you sold it now.  The market is still rebounding.  It was your choice to contribute in paying the closing costs. 
  • October 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for MariettaRoswell

If you followed an agents' advice on selling your current home, are you sure you feel comfortable buying foreclosures and trying to make a profit?  You need to be very careful and know exactly what you are getting into. 
Before you spend one minute even looking at foreclosures, find someone who knows about buying investment property and learn everything you can. There are different rules for investors than there are for owner occupants.

  • October 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for NY Broker
Be careful with foreclosures and short sales.  Look to put your money into a home that you can afford and have for your family to live in.  Rates are low, take advantage while it lasts.  
  • October 15 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for jean214
Buying foreclosures is so far from a safe investment that it makes me wonder if this is a fake post. A safe investment today is FDIC-insured bank CDs. Risk equals both reward and loss, and investors who can't tolerate risk should stay out of real estate.
jean214
  • September 20 2010
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Mirzainv wrote - see link below: "Yes I did post that...but remember the agent pointed out that it was not the bottom and the property feel further...

I have all this money and nowhere to live...its not about the money it about the loss on closing cost (since most sellers pay all closing costs in this market) 


It is also about maintaining the same lifestyle and standard of living...when you lose 25-40k selling a house that changes a bit... "

http://www.zillow.com/advice-thread/what-RESEARCH-do-I-need-to-do-before-buying-RENTAL-properties/366895/
*******************************

Mirzainv,

1) Did your agent force you to list your home for sale?
If he did, you should report him to the police.

2) Did your agent force you to pay the seller subsidy do the buyer?
If he did, you should report him to your local association of REALTORS.

YOU made the decision to sell your house and move-in with your in-laws....
Smearing your agent in the public forum because you are not happy with the current arrangement or the outcome is mean-spirited and even criminal.
  • September 20 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Mirzainv,

Judging by Reallyfedup's statistics, your agent did a great job marketing your home which resulted in a reasonably good offer. 

Instead, you smeared your agent in the PUBLIC forum! 
Is your agent aware that you have done that, so he could defend himself? After all, you are only writing your side of the story and in a very ungreatful manner!

All sellers pay property taxes and closing costs - you cannot hold a grudge against your agent for paying those expenses. As for the seller subsidy, it was your choice to pay the buyer's closing costs. You probably agreed to it because the buyer gave you a high offer.
 
Your agent deserves some appreciation, not a smear compain behind his back!
  
  • September 20 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Dunes....
mirzainv

Zillow is not a good source for determining the value of a home..
Zestimate is a toy to attract people to the site not an appraisal or a market comparison...

Even Zillow makes absolutely no claim it's accurate Zillow FAQ

As far as finding Statistics/Data, learning about the Market..Reallyfedup gave you some straight answers, provided you with statistics...Shoot him an email, give him a call ask some questions....
There's no obligation and I'm sure he'll give you some straight answers.data without treating you to a sales pitch..I'm positive of it or I would not be saying so

I've watch and talked with him for quite awhile now....it would be a smart thing to do IMHO..

BTW..I'm not a shill for the RE Agents, I got kicked off Trulia recently for being just the opposite and I seldom seldom seldom recommend an Agent but this guy's a good straight talkin person who is also happens to be an Agent..
If he can help you he will, if he can't he'll tell you, if it's the wrong time to buy he'll say so and if he doesn't know something he'll point you in the right direction..Best of all he won't BS you
  • September 17 2010
  • 2Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for broker_GRI
Mirzainv,
You can probably contact ReallyFedUp through his profile.
He seems to be an agent in your area with actual knowledge.
That would be a great place to start in getting accurate information.

All the best,
Tanya
  • September 17 2010
  • 2Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Reallyfedup
Yes 2062 audubon dr. glendale heights il...how did u know this was my house ?
___________
 I am a Realtor in Elmhurst.  I have access to the MLS and get my information from there.
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for mirzainv
How do I research all of those statistics ?

I dont think interest rates will go up anytime soon...
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for the_country_hick
Before you buy another house look at your local area for statistics.

How bad is unemployment? How many foreclosures are there? How many people are buying compared to a year ago? How much inventory is on the market (months of houses for sale) and so on.

You are likely to find out that all of the bad economic news is making foreclosures and those foreclosures are making lower prices.

Low interest rates like we have now are really making house prices higher than they should be. Once interest rates go from 5% to 7% buying power drops by 23.9%. That effectively turns a $200k house payment into a $152k house payment at the same monthly payment. That change alone should drop house prices even more.
  • September 17 2010
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for mirzainv
Yes 2062 audubon dr. glendale heights il...how did u know this was my house ?

can you post a link of the last three houses sold in that area ?

and if prices have dropped than why is Zillow showing they went up ?
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Reallyfedup
Audubon right?

Sale prices have dropped since the time that you sold.  Honestly, your house is not now worth $265,000.  A 5 bedroom 3 bath down the block sold for $255,000 within the last year.  That's the highest sold price.
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for mirzainv
@reallyfedup how did you know which house I owned ? It was 234,500 with 10k back at closing and than property taxes and closing costs brought it down to 201k at that time zillow said the house was at 235k now it says it is at 265k!! :(
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Reallyfedup
The house shows a closed price of $234,500 with $12,380 in closing cost given by the seller.  That was one of the highest sales for that time and since. 

Currently houses in that neighborhood are listed between $179,900 and $259,900.  Most of the houses that have sold in that area have been in the low $200's.

Actually it looks like you did pretty well and would not have been able to get what you did if you sold this year.
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

You just answered your own question...given time and a learning experience. You know, the real estate (and stock) market NEVER sleeps and it is a painfully objective machine. It has its features, benefits, downsides and absolutes -- ie; the market doesn't care about you, me or the next guy's prevailing circumstances and ultimate decisions.
STOP beating yourself up and move forward. Make the BEST investment decisions you can with the information you have and KNOW that the MARKET DOESN'T CARE WHAT YOU DECIDE TO DO OR NOT TO DO.  It never has and it never will! Rest easy, your family knows you and loves you anyway -- they also know you have THEIR BEST INTEREST AT HEART! Move forward with certainty in your decision --whatever it may be.  Blessings and abundance...Lyn.

  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Reallyfedup
Mirzainv,

If you are talking about Glendale Heights, IL I can pretty much guarantee that it did not go up $40,000 since last year.  I would bet that if a market analysis of the house was done today, you would see a drop since you sold.  What has sold in the area that is similar to your house both in size and condition is the real guide for value not what appears on Zillow.
  • September 17 2010
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for broker_GRI
First of all Vince,
That is one of the best things I've heard all day
"If you learn from your mistakes, they aren't mistakes....."

Mirzainv,
Zillow may be a nice place to gather information but the value of a house is best determined by appraisal or actual buyer.
When you say Glendale I think Southern California...probably not the bottom...oh if only.

Perhaps you would consider a purchase of a duplex...live in one rent the other or just meet with a financial adviser.

+ $175k  not too bad
try
- $300k  not so good

Wishing you much prosperity,
Tanya
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for mirzainv
That is what it says on zillow...and yes any mistake you learn from is not a mistake but that is a very costly one...i need advice.........
  • September 17 2010
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

How do you know its worth $265k today? I find it hard to believe it increased $40k in a declining market. 

Sell high (2003-05) and Buy low (2007-present)
  • September 17 2010
  • 3Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

If you learn from your mistakes, they aren't mistakes.....
  • September 17 2010
  • 3Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.