Anyone ever buy a house that wasn't on the market?

[dang]

I've lived in the same house since 1987 and have always dreamed of a house on a nearby hill that I see every day. At some point in my life I decided not to wait for things to happen and make shit happen myself, so in this case my realtor friend is send a personal letter from me to the home owner letting them know how interested I am in their home. After looking into the owner a bit it turns out she is in her 80's and has been in the house a long time. I don't expect anything to come of it, but ya never know.

Has anyone else ever done anything like this before?

Dan

 

[CSteve]

I've lived in the same house since 1987 and have always dreamed of a house on a nearby hill that I see every day. At some point in my life I decided not to wait for things to happen and make shit happen myself, so in this case my realtor friend is send a personal letter from me to the home owner letting them know how interested I am in their home. After looking into the owner a bit it turns out she is in her 80's and has been in the house a long time. I don't expect anything to come of it, but ya never know.

Has anyone else ever done anything like this before?

Dan

I remember a number of stories, details vague now, where people I knew or knew of went up and knocked on the door and said, "I would like to buy your house." Some owners said NO. Some said get back to me. And some said YES on the spot.

My favorite story happened right up the road from us. There was a large farm with a lovely 1800s stone house. The Seagram/Bronfman sisters knocked on the door, threw whole lot of money at the owners and bought it. Turned it into a horse farm, one loves horses. Later, and I can't remember the details but it's all there on Google, they lost their money, sold the farm and last I saw on the news one was facing prison time.

And yes, it is the Seagrams alcoholic beverage fortune we are reading about here.

 

[CSteve]

I remember a number of stories, details vague now, where people I knew or knew of went up and knocked on the door and said, "I would like to buy your house." Some owners said NO. Some said get back to me. And some said YES on the spot.

My favorite story happened right up the road from us. There was a large farm with a lovely 1800s stone house. The Seagram/Bronfman sisters knocked on the door, threw whole lot of money at the owners and bought it. Turned it into a horse farm, one loves horses. Later, and I can't remember the details but it's all there on Google, they lost their money, sold the farm and last I saw on the news one was facing prison time.

And yes, it is the Seagrams alcoholic beverage fortune we are reading about here.

Dan, then there is the famous story of the French lawyer who bought the rights to the lovely, expensive apartment of a woman in Paris in her 60s?? He figured ten years and he is in. She lived well into her 90s.

 

[Mmshul]

Dan,
Yes, in a place called Flamingo Heights, outside of Yucca Valley. Similar to your situation, an end of the road house(cabin) that was owned by a single woman. She turned down any outside interest. Over time, she understood our intent to nurture her property. We agreed on a price, we said she can stay rent free for the next year. It turned out well for us all. Good luck! Dreams do come true.

 

[Stevehose]

Edgar Jr blew it all getting into the movie business

I remember a number of stories, details vague now, where people I knew or knew of went up and knocked on the door and said, "I would like to buy your house." Some owners said NO. Some said get back to me. And some said YES on the spot.

My favorite story happened right up the road from us. There was a large farm with a lovely 1800s stone house. The Seagram/Bronfman sisters knocked on the door, threw whole lot of money at the owners and bought it. Turned it into a horse farm, one loves horses. Later, and I can't remember the details but it's all there on Google, they lost their money, sold the farm and last I saw on the news one was facing prison time.

And yes, it is the Seagrams alcoholic beverage fortune we are reading about here.

 

[dave v. in nc]

As the song used to say, "cast your fate into the wind"...Yes, I did that..sort of. We are now married for 25 yrs...
Go for it, Dan.

 

[BP1]

I did this 20 years ago. The owner reduced what would have been the market price by the amount he would have paid in commission. Used a real estate attorney to do the paper work (then $1,500). Few things sweeter than having an appraiser finish his appraisal and then asking "Why was the sale price so much under market?).

 

[dang]

Few things sweeter than having an appraiser finish his appraisal and then asking "Why was the sale price so much under market?

One thing sweeter is when we bought some commercial property and the owner carried the note. Had a contract written up, gave him the down payment and done deal!

 

[Bimmer 3.0 CS]

Sold my off market Manhattan Beach house to a stranger who contacted me. He always wanted to live in the community and have his 2 young girls in the school district. He was a licensed realtor but never active in the business. Gave me an offer I couldn't refuse, covered all the expenses, helped me pack, loaded the moving van he rented, moved me into my new dream home, and paid for a 1 year storage unit rental. We became friends.

 

[Peter Coomaraswamy]

Nice stories; bottom line, the answer is always no if you don't ask. good luck!

 

[Nicad]

I tried this approach when I bought our house. Probably sent 30 letters to houses I liked in the East end of Toronto. Got two or three replies. One warned me it would be "expensive". Sure wish I had bought that house as Toronto has had an unusual real estate trend for a while now. One ( located on a Cliff over Lake Ontario) I went through with a home inspector who extinguished any interest in owning something that needed everything. Finally settled on a place across the street from the rooming house I lived in as a student in 1978.

 

[adawil2002]

With our Nantucket, MA house we were approached randomly by realtors and individuals who wanted the place. Sold it to a friend of the family who still owns it. We stay there when we are on the island for a week.

Hope when the time comes, you are able to get the place, Dan.

 

[Ohmess]

I've lived in the same house since 1987 and have always dreamed of a house on a nearby hill that I see every day. At some point in my life I decided not to wait for things to happen and make shit happen myself, so in this case my realtor friend is send a personal letter from me to the home owner letting them know how interested I am in their home. After looking into the owner a bit it turns out she is in her 80's and has been in the house a long time. I don't expect anything to come of it, but ya never know.

Has anyone else ever done anything like this before?

Dan

I've not done this, but I studied commercial transactions for a client in order to determine their tax basis. One suggestion is to offer the potential seller an option contract. Option contract should have consideration, a strike price and a term. Assume the house is worth $800,000. Offer the potential seller $10,000 for the exclusive right to buy the house at $800,000 within the next ten years. If you and the potential seller cannot agree on $800,000 because of the ten year term, consider offering to buy at a price to be determined by the average of two appraisals, with each of you getting to choose an independent appraiser. Or consider a shorter term. You don't have to exercise the option, but if you don't she gets to keep the $10,000. And if you do, you effectively end up paying $10,000 than market value for the house (plus whatever legal fees you incur to have a lawyer help with the contract).

If you go down this path, you should register your contract with the register of deeds to reflect your legal rights. That way neither the potential seller nor their heirs can sell the house out from under you.

 

[Peter Coomaraswamy]

Wo, Chris, that sounds way too complicated. You could just exterminate the owner (make it look like an accident) then offer the heirs a fair price, done deal