Saturday, February 18, 2006
One Step Closer
Yesterday I met with the FHA certified inspector to go through the house. This has been a big worry of mine. The house we are trying to buy is from 1860, who knows what could be wrong with it that we haven't seen. I've also been afraid that the inspector would tell us we'd have to do thousands of more dollars worth of work. And my biggest fear was that he would say the house wouldn't be worth the amount of the loan when we're done with the work. That would mean we would not have any option to buy the house.
Good news first! He basically said not to let the house get away. He said it's irreplaceable and could be worth A LOT of money if we do a decent job with our improvement loan money. Bad news was that we have to get a lot more improvement money to make the house pass for an FHA loan. We also had to drop some of the extra goodies we really wanted for the house to afford the mandatory roof work and exteriors painting. But... As long as the bank will give the slightly higher loan, we can still afford the house. The inspector also said we would probably have enough in the contingency money to do most of the interiors work that we had to take out of the loan. It's all complicated... we think it'll all work out though!