05/04/2019
Wordy but worthy. Please read if you live in a house.
Flips... sometimes they’re great, sometimes they’re not. If you fall in love with a house, flip or not, make sure you and your realtor dig deep into its history. I think a lot of people don’t realize they can go to their town hall and learn A LOT from public records, and a realtor can learn a lot from past listing info.
Case in point... my client fell in love with a home that had been completely renovated. Coincidentally, it was an old listing of mine, a short sale that never sold due largely to the underground oil tank that was still in use. It foreclosed, bank listed it and within a week it was under deposit. A few months later it was back on the market, all redone, including a new oil tank in the garage! So my first question to the listing agent was “What happened to the underground tank? Was it removed and soil samples taken?” You know... the legal, proper way with permits and such...
I was told by the agent that he and the seller were unaware there ever was an underground tank, that the bank must’ve removed it prior to his purchase. Let’s note that in TWO places in the listing info when this agent helped this owner buy it, it CLEARLY stated there was an underground tank still in use, not to mention the fact that a bank wouldn’t bother removing a tank on a $100k cash purchase foreclosure under deposit in a week and closed 5 weeks later. When I went to town hall I found out much of the reno work was not permitted and the town had NO CLUE the tank was removed. Can you say HUGE RED FLAG?? My client, and therefore my leverage, walked away.
So I watched the listing like a hawk, waiting to see it go under deposit so I could warn the next buyer. As soon as the buyers’ agent info was made public, I reached out. I’ve never done something like this, but I couldn’t let it go and potentially be a big problem for an unknowing buyer, whether my client or not. The agent had already come across some concerning issues but was unaware of this mysteriously disappearing oil tank. Long story short, after several more lies and that agent’s persistence, a relative of the owner admitted to having removed the tank!!! No permits, no soil samples, no honesty or legal process whatsoever. Lil more bs and her clients also walked.
The listing was cancelled and it is now again on the market FOR SALE BY OWNER. Who knows what he’ll disclose now that he’s flying solo on this. My point to all of this... DO YOUR DUE DILIGENCE!! If your agent isn’t digging deep into a property’s history, get a new agent and/or do it yourself! Also, get a professional home inspection. You never know what might be hiding under the shiny new kitchen counters and fresh paint.
Unfortunately some people don’t care about doing the right thing and just want to make a quick buck, but these properties are not just pigs to be lipsticked. These are HOMES. FAMILIES. FUTURES. INVESTMENTS. Not everyone is as honest as we’d like them to be. Just make sure to watch your back, get yourself a realtor who will watch your back, and go get yourself the home of your dreams.
