this housing market is freaking me out

[ktgrok]

With things selling so fast, and so little inventory, and us being somewhat picky about what we need, I am not seeing how we are going to make this work. People supposedly don't want to accept offers with contingencies for sale of other home, which I get. Except, then we need to sell this and live WHERE for how long? I'm looking at the rental market and everything has a limit of 2 pets, year long leases, etc. And most will cost double what our mortgage is. 

There are too many of us to move in with family even short term. 

What on earth do people do? 

That Knock Home Swap thing (basically, mortgage plus bridge loan) is starting to look better just because even with fees, I don't see it being that much more expensive than finding a unicorn of a place to rent, plus moving twice, setting up utilities twice, etc etc. But....having your mortgage sold to who knows who is not ideal either. 

I'm flummoxed. We need to be ready to pounce when we see something, but we don't know when that will happen, and where we can live in the meantime. But Lord help me, we cannot stay here!!! 

 

[WildflowerMom]

Have you done some more research on that home swap thing?  Is it legit?    It may be worth it to go that route.   I agree, real estate is going nuts!

[ktgrok]

Just now, WildflowerMom said:

Have you done some more research on that home swap thing?  Is it legit?    It may be worth it to go that route.   I agree, real estate is going nuts!

a little - it is fairly new but seems to get good reviews for the most part. 

[RootAnn]

If I was looking to move, it would make me crazy too.

At least the market is so good that your place will sell quickly.

[ktgrok]

2 minutes ago, RootAnn said:

If I was looking to move, it would make me crazy too.

At least the market is so good that your place will sell quickly.

Right, which is great except for then we are homeless, lol!

[cintinative]

It sounds insane right now. A friend of mine is a realtor and every house she has sold recently has gone within a day and way over asking (e.g. $220K house sold for $230). 

[kristin0713]

Any chance you can build?

[ktgrok]

This is them on BBB - one complaint that was resolved, back in 2019? And it sounds like the prson was confused...I wouldn't expect Knock to pay for the utilities at either home. Bit confused as to the closing fees 3 times he mentioned, unless he means the fee associated with the bridge loan part as the third? https://www.bbb.org/us/nc/raleigh/profile/real-estate-investing/knock-0593-90313285/complaints

https://www.realestatewitch.com/knock-real-estate-reviews/

[ktgrok]

2 minutes ago, kristin0713 said:

Any chance you can build?

We looked and where we likely want to be, no one is building (that we can afford, anyway). It's mostly already built up. 

Also, we can't afford a down payment on a new build home or whatever until selling ours, which again leaves us needing to rent, but for even longer. And rentals that will take 5 pets and 6 people are um...not easy to come by, lol. And then having to worry that my dogs will destroy the grass or puke on the carpet too much or whatever and lose the deposit. And rentals even if they don't take pets are almost 1K more per month than a mortgage, plus pet fees on top of that - monthly. 

 

[Scarlett]

We did a bridge loan with our regular bank back in 2002.  I can't remember the details but it was for this very situation.  We made an offer on a new house before our current home sold.  And we had a lot of equity in old house that we needed to transfer to new house loan.  

Have you talked to your regular bank?

[mommyoffive]

How about some of your family to your mom's and some at your sisters?  

Could you do an airbnb type place for awhile?   

 

[katilac]

3 minutes ago, mommyoffive said:

Could you do an airbnb type place for awhile?   

That's a great possibility to check into. 

Are there any possibilities whatsoever to improve the house you're in now? Can you add a room? Put an office or storage shed in the yard, or both? 

[Arcadia]

30 minutes ago, RootAnn said:

If I was looking to move, it would make me crazy too.

We are looking to move to a bigger place and the market is crazy. It doesn’t help that many of the new residential buildings are rental apartments.

Now we are thinking of just waiting it out and see where DS16 ends up going for college before earnestly looking. The 3 bedroom townhomes we are looking at are currently going for about $1.5M and more in my area.

 

ETA:

Since you want to be ready to offer, I would check with your favorite bank how much home loan you can prequalify for. At least that doesn’t require a credit pull.

Edited April 27, 2021 by Arcadia

[happi duck]

Do you have family where you can just flop on the front room floor for a couple weeks with your stuff in storage?  Not ideal of course but it may be necessary.  Ime, people are building or staying put because of how the market is.

[ktgrok]

2 minutes ago, katilac said:

That's a great possibility to check into. 

Are there any possibilities whatsoever to improve the house you're in now? Can you add a room? Put an office or storage shed in the yard, or both? 

We'd need to add multiple rooms. DD4 currently sleeps on a day bed in what is meant to be a family room. (we turned it into a school/play room a few years ago, but still, it's a living space). DH and I are at odds because he works late and I want to sleep, and his "office" is in our bedroom, so I end up sleeping on a trundle bed with a cruddy mattress by dd4 or on the pull out couch in the living room. So we need another bedroom, and an office. (back door to let the dogs in and out, access the pool, etc is in the family room/playroom so not really feasible to wall it off as a bedroom or office. 

[Acorn]

If you find a solution, let me know too. I’ve given up, but dh really hates our current house. We haven’t put any work or replacements into it for years. We really should get out before roof, furnace, fridge etc all go on strike together.

[ktgrok]

2 minutes ago, happi duck said:

Do you have family where you can just flop on the front room floor for a couple weeks with your stuff in storage?  Not ideal of course but it may be necessary.  Ime, people are building or staying put because of how the market is.

Not really...my mom has a broken shoulder (shattered) and we can't be bringing big dogs there that might knock her over. And my sister's place isn't very big...I just can't see us all fitting there with her 2 kids and her dog. 

[ktgrok]

Just now, Acorn said:

If you find a solution, let me know too. I’ve given up, but dh really hates our current house. We haven’t put any work or replacements into it for years. We really should get out before roof, furnace, fridge etc all go on strike together.

In good news, we have a newish roof and brand new AC here, so although we have cruddy flooring and it needs landscaping, paint, etc we should be able to sell pretty easily. 

[mommyoffive]

Have you talked to a bank about a bridge loan? 

Could some of you go to your mom's?   Maybe your dh and your ods?   Maybe your dd?  Then it would be less expensive and easier to find an airbnb place. 

[ktgrok]

3 minutes ago, mommyoffive said:

Have you talked to a bank about a bridge loan? 

Could some of you go to your mom's?   Maybe your dh and your ods?   Maybe your dd?  Then it would be less expensive and easier to find an airbnb place. 

The issue with AirBNB I think is going to be the pets, not the people. Maybe I'm wrong. 

[Tree Frog]

Could you sell the house and rent it back for 6 or so months while you look for a new house? We did that when we were moving and the buyers were glad to let us rent for a few months. We set it up in the contact. It worked very well. Our neighbor also did that. The builder of their new house wanted the old house to be sold before agreeing to financing. They're renting back until their house is finished.

In a sellers market, it might work well.

[mommyoffive]

1 minute ago, ktgrok said:

The issue with AirBNB I think is going to be the pets, not the people. Maybe I'm wrong. 

Not that I know your area.  But I am booking vacations with my dogs and there are lots of places that take them.  Even hotels take them.

Edited April 27, 2021 by mommyoffive

[WildflowerMom]

1 minute ago, wilrunner said:

Could you sell the house and rent it back for 6 or so months while you look for a new house? We did that when we were moving and the buyers were glad to let us rent for a few months. We set it up in the contact. It worked very well. Our neighbor also did that. The builder of their new house wanted the old house to be sold before agreeing to financing. They're renting back until their house is finished.

In a sellers market, it might work well.

My neighbor did this last year.  Worked very well for her.

[ktgrok]

Just now, mommyoffive said:

Not that I know your area.  But I am booking vacations with my dogs and there are lots of places that take them.  Even hotels take them.

Right, but a lot have a 3 pet max from what I'm seeing, or only small dogs, etc. 5 pets seems to be pushing it, lol. 

[ktgrok]

2 minutes ago, wilrunner said:

Could you sell the house and rent it back for 6 or so months while you look for a new house? We did that when we were moving and the buyers were glad to let us rent for a few months. We set it up in the contact. It worked very well. Our neighbor also did that. The builder of their new house wanted the old house to be sold before agreeing to financing. They're renting back until their house is finished.

In a sellers market, it might work well.

It definitely is something to look into. I do worry, what happens if say, a kid colors on the walls during that time, grass dies, or whatever? We are messy people, lol...so that worries me. i guess you have a rental agreement to cover all that...

[mommyoffive]

8 minutes ago, ktgrok said:

Right, but a lot have a 3 pet max from what I'm seeing, or only small dogs, etc. 5 pets seems to be pushing it, lol. 

board some?

 

[mommyoffive]

7 minutes ago, ktgrok said:

It definitely is something to look into. I do worry, what happens if say, a kid colors on the walls during that time, grass dies, or whatever? We are messy people, lol...so that worries me. i guess you have a rental agreement to cover all that...

I think you would just have to fix it or pay for it.  I think if you want to or need to move it is going to be something that is going to be hard and cost some money because of the family size and so many pets.  

[Tree Frog]

5 minutes ago, ktgrok said:

It definitely is something to look into. I do worry, what happens if say, a kid colors on the walls during that time, grass dies, or whatever? We are messy people, lol...so that worries me. i guess you have a rental agreement to cover all that...

Would it be that different at an air bnb or a different rental? You'd still worry about the same stuff, but if it's your house, you know the paint color and can touch up if needed. You're familiar with the house and yard, so it would be easier to repair than a different rental.

I understand your concern, though. I was concerned about my appliances breaking when we rented back. They turned out to be unfounded concerns.

[ktgrok]

5 minutes ago, mommyoffive said:

board some?

 

Super pricey, sadly.

4 minutes ago, mommyoffive said:

I think you would just have to fix it or pay for it.  I think if you want to or need to move it is going to be something that is going to be hard and cost some money because of the family size and so many pets.  

Yeah...I think that is what I'm seeing, and why paying for the convenience of the home swap program is appealing. Basically, I have to pay up no matter what, lol, so might as well pay up and only move once, and not have to show the house while living in it. Vs pay AND rent and deal with all that. 

[Catwoman]

1 hour ago, ktgrok said:

Right, which is great except for then we are homeless, lol!

Is there any chance you could make a solid offer on a house, but request that the closing be delayed for a few months so you’ll have time to sell your current home? You could offer to rent the new house for those months before the closing, so the owners would still be making some money, and you would already be living in your new home while your current house was being sold.

With this being such a hot market, I don’t know if anyone would go for it, but if your offer was really strong, it might work.

[hjffkj]

in this market I would 100% sell my house and plan to rent for a year or 2.  

[lmrich]

RV? 

But I bet your timing will work out just right. 

[Bootsie]

These are the types of situations in which I have found real estate agents to be extremely helpful.  They know the local market and are in touch with local lenders, knowing how likely it is to get a bridge loan.  Or, they might have suggestions on how to work with some homeowners to negotiate a solution (they may know some home sellers who are in a similar situation). 

How quickly do you think you can sell your home?  Would it make sense to put your home on the market while you are looking (you can always reject an offer if you don't think that you can find something you want to buy quickly)?  You may be able to sell your existing home with a clause that you can rent it from the new owners for several months.  

[ktgrok]

Just now, Bootsie said:

These are the types of situations in which I have found real estate agents to be extremely helpful.  They know the local market and are in touch with local lenders, knowing how likely it is to get a bridge loan.  Or, they might have suggestions on how to work with some homeowners to negotiate a solution (they may know some home sellers who are in a similar situation). 

How quickly do you think you can sell your home?  Would it make sense to put your home on the market while you are looking (you can always reject an offer if you don't think that you can find something you want to buy quickly)?  You may be able to sell your existing home with a clause that you can rent it from the new owners for several months.  

Stuff is selling within days. There is just no inventory, so it is being bought up. Im going to be talking to a real estate agent in a few weeks, to get a better idea. 

[mommyoffive]

4 minutes ago, hjffkj said:

in this market I would 100% sell my house and plan to rent for a year or 2.  

Not in the OP's area, but in our area other than apartments, that is really hard to do in this market.  I feel like the people who had rental houses sold them or people already rented them doing that.  

[fairfarmhand]

5 minutes ago, lmrich said:

RV? 

But I bet your timing will work out just right. 

That’s what I was gonna say, get a couple of campers and rent space at a campground.

[pinball]

What about long term boarding at a more rural kennel?

around here, the rural kennels are significantly cheaper than suburban kennels (and the few urban kennels).

it’s even cheaper at times to negotiate a long term stay (month-plus is long term around here).

[Hyacinth]

A possible hiccup with the sell-but-rent-back-from-the-new-owners plan is that it makes the house a rental for the new owners, and that could impact their financing. So unless that negotiation takes place away from the realtors/bankers, it could be a deterrent.

I hate to throw another wrench your way, ktgrok! I know it's frustrating!

Edited April 27, 2021 by Hyacinth

[LAS in LA]

Could just the pets go to sister’s? That might make finding a rental easier.

[WildflowerMom]

Could the cats go to mom's house?   

[mom31257]

I hope it will all work out for you! 

We are anxious about our situation.  Dh is applying for teaching jobs in another area of our state, and we can't sell until we know if he will get one. We will be in a better situation to rent. Ds is going to college in the fall and will be home on breaks and summer only. My dad might need to move in with us at some point in the next year or two, though. 

[Melissa in Australia]

What about just getting rid of some of the pets. Would simplify everything

[mommyoffive]

Do you have a friend that would take an animal for a bit?

[matrips]

1 hour ago, ktgrok said:

DH and I are at odds because he works late and I want to sleep, and his "office" is in our bedroom,

Just a different idea- some people rent office space- over the past decade I’ve seen lots of business models where they provide internet and desks etc, and you rent space from them.  It’s meant for all the individuals that need a place to work, but don’t have an office per se. Could that be a temporary fix while you house-hunt?

[Katy]

I’d sit tight and deal for a year or two… maybe buy a lot if you can swing that.  It feels just like 2006 and I can’t imagine there isn’t a housing prices crash soon. All the stimulus checks & new ability to telecommute has made things go crazy. 

[Carrie12345]

Before the market got this insane, we knew we needed a lot more cash and a little credit clean up before we could seriously consider a move. (Very little equity, and slow moving houses.) The absolute best thing to happen during that time was dh getting a cheap, kinda run down, but private office for a few hundred dollars a month.

We don’t really have to talk about how he doesn’t always bother to GO there, but it’s been a million times better than having him work from home every day and torture the rest of us.

[SeaConquest]

1 minute ago, Katy said:

I’d sit tight and deal for a year or two… maybe buy a lot if you can swing that.  It feels just like 2006 and I can’t imagine there isn’t a housing prices crash soon. All the stimulus checks & new ability to telecommute has made things go crazy. 

I keep saying that, but the market just keeps going up. We've been sitting tight in our RV, waiting for a crash since 2016. Here we are 5 years later, worse off than we were when we moved in, in terms of lost equity. I am desperate to get into a house, but the market in San Diego is heinous. I totally feel you. 

[ktgrok]

31 minutes ago, WildflowerMom said:

Could the cats go to mom's house?   

Both she and my sister are allergic to cats, so that's a whole other issue. 

43 minutes ago, LAS in LA said:

Could just the pets go to sister’s? That might make finding a rental easier.

She's allergic, and no on eis home there during the day to let pets out...her toy poodle has a dog door, but my wolf hybrid/doodle mix and my bloodhound/newfie mix won't fit through it, lol. Border collie would likely get stuck. But if we HAD to crash for a week or two we might make it work somehow. 

29 minutes ago, Melissa in Australia said:

What about just getting rid of some of the pets. Would simplify everything

I might get rid of DH first, lol. The pets don't keep me up at night at least 🙂

12 minutes ago, Dreamergal said:

If you do not have a HOA that would go ballistic, would having a tiny house in the backyard help ? You can throw DH out there. 

 

We actually were going to do that, but really, we can't keep on with DS8 and DD11 sharing a room, with DD4 in the living space, etc for much longer. 

9 minutes ago, matrips said:

Just a different idea- some people rent office space- over the past decade I’ve seen lots of business models where they provide internet and desks etc, and you rent space from them.  It’s meant for all the individuals that need a place to work, but don’t have an office per se. Could that be a temporary fix while you house-hunt?

You know, not a terrible idea in the interim....now that he's fully vaccinated. I need to see if they are open late at night, or if it is come whenever. During the day it is hard, just trying to keep the kids quiet neough with him on the opposite side of a hollow core door, but worse is him working while I want to sleep. That's hard on our marriage. 

3 minutes ago, Katy said:

I’d sit tight and deal for a year or two… maybe buy a lot if you can swing that.  It feels just like 2006 and I can’t imagine there isn’t a housing prices crash soon. All the stimulus checks & new ability to telecommute has made things go crazy. 

I don't think my sanity will survive another year or two. 

[fairfarmhand]

6 minutes ago, Lovinglife123 said:

Stay with mom-  Find friends to house the dogs.  I know I’d love a temporary dog.  Always wanted to have a dog but don’t want the commitment. 

Finish basement?

I'd bet dollars to donuts that being in Florida, she doesn't have a basement, nor does anyone else within 50 miles of her. Such a flat place with a low water table. I lived in South FL for 10 years and never came across a single place that had a basement.

[ktgrok]

So, talked to DH, and he wants to explore the Knock Home Swap thing. He feels the extra fees are probably more than worth the hassel, and that we will be able to sell our house for more anyway if we are out of it when showing it. (truth! I'm SURE it smells like dog in here , and driving around with 5 pets and the kids in the van for every showing sounds miserable). 

We are also going to look again more seriously at the building idea, but it just doesn't look like anything is being built where we want to go - PLENTY being built where we are leaving, lol...we are going the wrong direction for that to work. (we want to move to east side of metro, between downtown and the coast...everyone is building on the west side of metro, and going towards the other coast)