Don't know what to do... Home buying related

DH and I saw a house over the weekend and decided to make an offer. It was a tad higher than what we were looking to spend (by about 5k) but it has almost everything on our "like to have" list - updated kitchen, finished basement, pool, central air, deck, garage. Until yesterday, our offer and seller's counteroffer were about 5k apart and weren't willing to budge since that was our max. We then found out yesterday that the taxes that were listed on the listing are incorrect and they are actually about 1k higher. Today, the seller's broker informed our REA that they are going to accept our offer.

However, to me, now that the taxes are higher than we thought, I'm not sure about our offer anymore. Our REA, mortgage broker, and RE Attorney as well as some friends told us we'd be stupid to pass it up because we played hardball and won, and the house has more than we thought we would get considering our budget.

Maybe we're just scared because we're really close to actually going through this! I don't know. I guess I'm annoyed that the tax information was misrepresented on the listing and it's making me second guess. We have to make a decision in the next day or so. Ahh this home buying business is STRESSFUL!

Re: Don't know what to do... Home buying related

If it is a house I LOVE I wouldnt let it go over $1K. Its pennies in the big picture (even though I know it seems like a lot). We came down to $1K apart when we were negotiating and my RE said are you willing to lose the house over $1000. I wasnt.

Re: Don't know what to do... Home buying related

you have to decide if you can afford the extra 1000k a year in taxes. Honestly changing your offer by 5k or even 10k isn't going to help you with the taxes in the long run.

Count on that the taxes will go up. Be comfortable with what your monthly payment is going to be.

Good luck!

Re: Don't know what to do... Home buying related

$5K is really nothing on a price of a house. I would be upset to lose a house I really love over $5K. Losing for a $30K difference, then no I would not be upset.

The $1000 tax is a different issue. It's an additional $80+ per month. And it might even go higher.

If $80+ additional per month is a MAJOR impact on your budget, then the house is not for you.

Re: Don't know what to do... Home buying related

Have you sat down with a mortgage broker to figure out what your montly payments would be and really know what you can afford?

The amounts you are talking about really aren't material considering they are spread out of time (year for taxes if you do it through escrow, length of your mortgage for purchase price), but I don't know your situation and how far you pushed yourself for your max.


For ME, if a house had everything I wanted I wouldn't let $1k - $5k scare me away

Re: Don't know what to do... Home buying related

It sounds like you are looking for an out, and you found one. Buying a house is very stressful and there will be pop-up things that will cost you $$ all along the way. 1K more in taxes will cost you approx. $83 more a month. Not a big deal but you have to be comfortable. If the house if everything you want, and within you budget I say go for it!

Re: Don't know what to do... Home buying related

Is that before or after STAR? Because with STAR, you could save about $800-$1200 a year.