The Condo Buying Saga is Finally Over 66 Comments
I have to admit that I’ve been keeping a secret from most of you for a while now. Earlier in the summer we went through condo buying hell as you can read about here. That whole situation put us off condo shopping for a little while, but we did eventually climb back on the horse.
I didn’t want to jinx anything until it was official, but we did end up finding a new condo…new to us that is. The paperwork has all been signed and we’ve picked up the keys. So I think we are in the clear. If only we hadn’t gone through that other mess. Then there wouldn’t be any lingering paranoia about our bad luck still hovering over us.
Based on the condo we’re now moving into, I do think this ultimately worked out for the best. While we did like the previous condo, we were accepting multiple faults based on the great price. The building wasn’t really well maintained and there were bound to be some big projects coming up soon. The unit itself was in need of a fair amount of renovations. If we had went with that one we’d probably spend just as much we we did on the new one, but with a whole lot more hassle.
This new condo is exactly what we were looking for…good size, already renovated, good neighborhood, solid building, etc. We really can see ourselves living there for a while, especially since it has 2 bedrooms. The second bedroom is even painted to be a nursery. We might just leave it as is while I use it for my workout room. It might not be the manliest workout room, but maybe that paint theme will come in handy shortly down the road
Although this condo does have a higher price tag, it’s much better suited for us to stay there long term. If we do stay there for a while, the value could very well increase with the way the surrounding area is continuing to grow. Eventually we’ll probably put in hardwood floors to improve the chances of profiting. Even if we don’t make a profit though, it’ll be a great place to live for the next chapter of our lives.
Last Minute Mortgage Scare
Of course with our recent luck, this purchase wasn’t exactly smooth either. A couple days before we were to close, our mortgage broker informed us that the lender he had lined up decided to decline our application. They were a little wary of my contractor status at my job since that technically made me self employed. In that situation they needed at least 2 years history of similar self employment. I figured my side business history would be sufficient, but unfortunately they thought otherwise.
So with only two days before closing we were left scrambling to secure a mortgage from a different lender. It had an eerie sense of deja vu, except last time it was the seller who couldn’t get the mortgage cleared at the last minute. Maybe this was the universe’s way to put us in her shoes and to show us to not hold any negative feelings towards her.
Fortunately my bank still had me locked in on a mortgage pre-approval rate that wasn’t too bad. It wasn’t the interest rate that the rejected lender was offering, but beggars can’t be choosers. Despite that pre-approval, we were extremely anxious that the mortgage couldn’t get processed on such short notice. If we couldn’t secure the funds we’d be in breach of contract and could be liable. I got thinking of how many other sales might be affected by such a domino effect.
Our realtor requested an extension from the seller, but since they were closing a purchase the same day they weren’t having any of that. I have a feeling they were pretty pissed off when they heard that we were requesting an extension due to funding issues. In times like this, it’s probably best that the realtors act as middle men and we’re not in direct contact with the sellers.
Meanwhile the mortgage broker was trying to pull some strings on his end. He was able to get us an approval at a higher rate, but we had no idea if that could be completed in time either. That at least put pressure on my bank to expedite things on their end though. With the potential backup plan in place, at least things were looking a bit more promising.
The day before closing we finally got word from my bank that they could indeed fund the mortgage in time. Talk about a big weight lifted off our shoulders. That meant that we could pull the plug on the backup option before the paperwork went through.
Normally getting an accepted offer is supposed to be the moment of excitement. In our case, we knew things had to be set in stone before we could get counting our chickens. Now it was time to get counting.
I’d love to be giving some advice about realty, but this is nothing more than a personal story. As I write this, it’s actually the day before I get the keys and we’re so excited. I doubt I’ll want to be on the computer in the first few days of getting the keys to our new home. It may be the first home we’ve owned, but I think in the end we got pretty luck regarding the condo we landed.
What do you remember most about the first home you purchased? Do you know anyone else who had such a tough time buying a home?