Answers by Timothy Riordan

Buying a duplex with a friend is a great move, but you have to treat it like a business to prevent the friendship from going sideways. The \"legal nightmare\" fix is simple: hold title as Tenants in Common. This allows you to own specific shares rather than being lumped together. The most important step is a Co-Ownership Agreement. Think of it as a \"house prenup\" that spells out exactly how a buyout works, who pays for a new roof, and what happens if one of you wants out in three years. Get the \"what-ifs\" in writing now while you’re still on good terms!

The buydown is usually better if you need lower monthly payments now to ease into the home. You have to qualify for the full rate upfront and if rates haven\'t dropped by year 3, your payment simply hits that original locked-in rate. As an example- a $10k price cut might save you $60 a month, but a 2-1 buydown could save you $400+ a month in year one. If you plan to refinance within 2-3 years anyway, take the buydown.

The short answer is no. Most mortgages are \"non-assumable,\" meaning they are tied to the specific house, not you. When you sell the home, that 2021 rate disappears. Many homeowners in your shoes are keeping the 2021 house as a rental if possible. Holding that 3% rate as a landlord is often the best way to build long-term wealth. If your low payment allows for positive cash flow, you can use that income to help offset the higher rate on your next move-up home.

Most lenders do not count 401k loan payments toward your Debt-to-Income (DTI) ratio. Since you’re technically paying yourself back, underwriters generally view it as a move of your own assets rather than a new monthly debt like a car loan. If this $20k is the only thing standing between you and a home that will appreciate, it can be a smart bridge!

The short answer is no, until the deed is recorded and the keys are in your hand, you have no legal right to use that address or the mailbox. If you don\'t want rent a P.O. Box, you could use what\'s called general delivery. USPS allows you to send mail to a specific post office under your name via General Delivery for up to 30 days. Hope that helps!

Drop off a handwritten and sincere letter to his mailbox. Keep it low-pressure. Mention you live in the neighborhood, love the work he’s doing, and would love the chance to make an offer before he has to deal with the stress of open houses and showings.

You aren\'t required to, but it’s often still in your best interest. Since the 2024 settlement, listing agents can no longer advertise a set buyer-agent commission on the MLS. Don\'t worry about it being awkward! Honestly, it’s our job to talk about the numbers. Just ask: \"How are we handling the buyer’s agent compensation in this market, and what’s the strategy to keep my net proceeds high?\"

Disclosure laws vary by state. Have a real estate attorney review your \"Seller’s Property Disclosure\" to ensure you\'re protected without oversharing!

We Buy Houses flyers aren\'t necessarily a scam, but they are a very specific type of tool. Whether they’re a good deal depends entirely on what you value more: top dollar or zero stress. A cash investor typically follows the \"70% Rule\" meaning they want to buy your home for roughly 70% of its fixed-up value, minus repair costs. You are essentially paying a convenience fee of 20%–30% of your equity to skip repairs, cleanings, and potentially months of waiting.

You can absolutely list your home \"as-is,\" but the condition of the roof and foundation will dictate who can buy it. Standard mortgages (FHA/VA) have minimum property standards. If the roof is leaking or the foundation is structurally unsound, a traditional bank likely won\'t lend on it. This shrinks your buyer pool significantly. Before you go the as-is route, ask your agent about \"concierge\" programs. Some brokers, usually large teams, will front the money for essential repairs (like a roof) and get paid back out of your proceeds at closing. This allows you to sell to a traditional buyer for a much higher price without spending a dime upfront.

When a buyer finds a surprise $5,000 mold issue or a cracked heat exchanger, they don\'t just ask for $5,000, they usually ask for $10,000 because of the stress and uncertainty. By inspecting early, you can fix it on your own terms. The benefit is you can shop around for the best contractor instead of paying a premium during post inspection negotiation. Also- handing a buyer a full inspection report and a stack of receipts for the repairs you already made makes your home the safe choice.