Posted by Kristine-CA on July 10, 2003 at 11:17:25:
You know, I think I am confusing HH with municipal low-income home ownership projects. Projects where the homes have to stay in the low-income sector for a set number of years, etc. It surprises me that HH doesn’t have something similiar, but now that I think about it, how could they? If homeowners are able to re-finance, then it seems the house enters the regular marketplace. Interesting.
Sincerely, Kristine
Habitat for Humanity Property - Posted by AZInvestor
Posted by AZInvestor on July 09, 2003 at 16:51:46:
I have a seller who got a property cheap from Habitat for Humanity.
Anyone ever bought a property that was built by this type of organization, and if so are there any catches or problems when dealing with this type of property?
One caveat - Posted by BrokerScott (Mich)
Posted by BrokerScott (Mich) on July 10, 2003 at 08:06:14:
H4H houses are built with donated materials and built by volenteers, therefore I would also be concerned about Quality of 1. materials and 2. construction techniques. A in depth mechanical inspection is warrented as well as the other items previously mentioned. Best, Scott
Re: Habitat for Humanity Property - Posted by tyler
Posted by tyler on July 10, 2003 at 06:47:41:
I have a duplex (blt 1947) formerly owned by HFH, i bought it from an owner who bought from HFH. Couldn’t give you any details to the story. However, I tell you this, the bldg had been brought up to code wiring/plumb/roof/etc sometime during the HFH ownership.
Re: Habitat for Humanity Property - Posted by Kristine-CA
Posted by Kristine-CA on July 09, 2003 at 18:45:17:
AZInvestor: Did the seller buy the property from HH as overstock or unwanted property? Or is the seller the original buyer from HH? I’d be very surprised if HH properties can be sold as investor properties. Perhaps this property was not financed by HH?
Please let us know what you find out. Sincerely, Kristine
Re: Habitat for Humanity Property - Posted by njdave
Posted by njdave on July 09, 2003 at 18:32:20:
The concept behind H4H is homeownership, not to profit by selling.
Carefully read the deed restrictions about resale. The Seller might be entitled to a certain amount equity, prorated, based upon the term of ownership.
Excess equity might be dedicated (deed restriction) to H4H.
Re: One caveat - Posted by Tom-FL
Posted by Tom-FL on July 10, 2003 at 17:41:32:
Even so, H4H is not exempt from permits and inspections. Permits are pulled, and all material and workmanship must be up to code. I would think the inspectors might look a little CLOSER because the work was done by volunteers.
Re: One caveat - Posted by Kathi
Posted by Kathi on July 10, 2003 at 15:38:45:
I would not be concerned about the quality. The volunteers, for the most part are doing the grunt work under the supervision of professionals. The materials are probably fine. Frequently they are overstocked items or are donated as a tax writeoff and for good pr for the store or manufacturer.
Kristine- - Posted by AZInvestor
Posted by AZInvestor on July 09, 2003 at 22:30:21:
Kristine,
Yep, H4H built the property, they were the original buyer, about 5-6 yrs ago. It is in a semi depressed part of town.
Since the purchase, the seller has refi’d with Ameriquest and since has run into a little bit of trouble.
The price is low enough that I could get a loan in my name, no problem, and when the seller refi’d they yanked most of the equity out. Bot for 30k, refi’d for 69k or thereabouts.
I would think that since they refi’d that all claims to equity etc would be relinquished, what do you think?
Re: One caveat - Posted by BrokerScott (Mich)
Posted by BrokerScott (Mich) on July 10, 2003 at 20:24:53:
My statements were based on insider info from a person (that I know and believe) who worked at a lumber and building supplies wholesaler. He quit over these and other sleazy practices. If one will, there are likely others. I stand by my statements.