Tag: Portland Housing Center

A Five Year Journey to Becoming a Homeowner

Posted on by Alyssa Isenstein Krueger

My super special buyer Ta’ Neshia contacted me in early April to see if I could help her complete her long journey of buying her first home. This single mom had spent the past five years working with the Portland Housing Center to build up her credit, save for a downpayment, and get educated about the home buying process. She finally reached mortgage ready status, and as a veteran, qualified for a VA loan. Once she started the process with getting pre-approved, she found out she qualified for a $90,000 N/NE Housing Strategy  Preference Policygrant as well as a $15,000 down payment grant through the local land trust non-profit Proud Ground because she is a veteran. So between her N/NE preference policy grant, her Proud Ground grant, her matched savings from Portland Housing Center, and her VA loan, she was able to string all of it together to be able to have the funds to finally buy a home.

Even with the Preference Policy Grant, her budget was on the very low end for Portland- under $400,000, and making matters more difficult, she had to buy a home within the Interstate Urban Renewal Area- which over the last 10 years homes have easily doubled or tripled in some cases in value. Ta’ Neshia said from the first time I met her that she was going to trust in the universe and felt strongly that despite her challenges on paper, it was going to all work out. Her kids are in middle school and really needed their own rooms, so finding a 3 bedroom home was a must. We looked at one townhouse that she could afford and she was willing to go for it, until she started thinking about actually living in the less then ideal space. A week later, a townhouse in the Bridgeton neighborhood right off Marine Drive and the Columbia River came on the market. We went to see it and I could tell she was in love. It had a great layout- 3 bedrooms plus a bonus space upstairs and a great kitchen, dining room, living room and garage that could easily be turned into living space on the ground level. The seller had purchased the unit from a contractor who had re-done the builder basic kitchen into a beautifully functional kitchen, and the seller added her own chic touches everywhere.

It was the second home we saw together and we both felt that this was meant to be her house after we spent time there. We wrote up an offer that same evening and crossed our fingers. Thankfully, my wonderful Living Room Realty colleague Virginia Barden was the listing agent, and I was able to convey to her that while Ta’ Neshia’s offer on paper probably didn’t look as “good” as an offer from another buyer between her down payment assistance grants, VA loan and the need for a 45 day minimum closing, that we could at least offer over asking, no repairs and a small cushion for an appraisal gap. The seller received three compelling offers and Virginia was able to give her seller the full picture on Ta’ Neshia and how hard she had worked to get to this point and how committed she was to this purchase. Thankfully the seller was moved by Ta’ Neshia’s story and  decided to put her money where her mouth was and accepted Ta’ Neshia’s offer.

It was such a pleasure and honor to be able to help Ta’ Neshia round out all her hard work and hand over keys. When it was all finished, Ta’ Neshia said one of the best things any buyer has ever said to me-  Thank you for being the best advocate I didn’t even know I needed.

 

First Time Buyers and a Piedmont Cutie

Posted on by Alyssa Isenstein Krueger

Lisa and Matt and their 4 year old son had been renting an apartment in Irvington and were ready to branch out and buy their own home. Their needs were pretty simple- at least 2 bedrooms, cute/vintage, reasonable condition, a yard to play and garden in and relatively close to where they had been renting in inner North/Northeast. And a basement would be the cherry on the top. We looked at a few homes and even a condo that was a condo conversion from a 1960’s complex that was similar to what they had been renting. We found a great home that met all their needs within a few days. A house that had been sitting on the market with no action for nearly 3 weeks. We wrote up a great, full priced offer, and what do you know- someone else decided that day to put in an offer as well. The house seemed to have some condition issues and the other buyers offered a 2-week close, meaning it would be nearly impossible to negotiate repairs, let alone have any repairs done, prior to closing. So when Lisa and Matt’s offer was not accepted, there was a little heartbreak which was quickly dealt with via some condolence vermouth. But then, the very next day, a cuter-then-a-cupcake circa 1940 bungalow came on the market in Piedmont. We went to see it and I could tell my buyers were in love. Given it was cute, well priced, and in a fabulous location, it did receive multiple offers and Lisa and Matt were able to beat the other offers with a super clean offer and a small escalation clause. The inspection revealed a few issues including the need for a new roof, furnace and other old house stuff that was past it’s useful life. Thankfully the sellers were great and we were able to negotiate a fair credit amount and a small price reduction to account for the work needed. And then my favorite day in the whole transaction arrived- closing and key day!

Petite Perfection In A Newly Built Affordable Home In Kenton

Posted on by Alyssa Isenstein Krueger

Molly and her son have been renting a below market rate home owned by a non-profit in NE Portland for years. With her rent about to rise, Molly made it her mission to buy a home to provide her and her son much needed stability. Through luck, timing and meeting the right qualifications, Molly qualified for a $90k down payment assistance loan through the Portland Housing Bureau. The loan is actually a silent second, which means there are no payments made on the loan, it accrues no interest and is forgivable after a certain number of years living in the home. Concurrently, Portland Housing Center’s LIFT program was unveiled and Molly was able to snatch up one of their $20k grants. With $110k in down payment assistance, Molly was able to buy a fabulously adorable new construction home on a quiet street in the heart of the Kenton neighborhood. The 2 bed 1.5 bath was built in what was an oversized yard of a house, and though only 800 sf, this home is a great example of how to use a small footprint to create a home that lives much larger than what you would expect with a home with less than 1/2 the square feet than your average new construction home.  And with the smaller footprint, it kept the cost down and created an affordable option for home ownership in the thriving Kenton area.  The transaction itself was smooth as butter with an awesome listing agent, Daniel Silvey with Knipe Realty, who also happened to own the home, a fabulous lender- Jennifer Leon at Umpqua, terrific escrow officer Mariah Yee with Ticor Title and lots of  help and guidance of folks at both the Portland Housing Bureau and the Portland Housing Center.

Happily Ever After in a Milwaukie Mid-Century

Posted on by Alyssa Isenstein Krueger

I met Rachel and Rubin this past March. They had a matched savings account, an IDA (individual development account,) from Portland Housing Center and they were ready to buy a house. To say these two are delightful is an understatement- they are DELIGHTFUL and it’s people like these two that make my job so much fun. They are both from Portland and have lots of family in the area and knew they wanted to live near at least some of their family. They honed in on Milwaukie and SE Portland, and we set off looking at houses.

They were definitely attracted to vintage homes- mid-centuries and bungalows and it wasn’t long before we found a house that they really liked- just east of 82nd. A darling bungalow that oozed with charm, and even more importantly to Rubin, with a yard and garden to write home about. There were a couple of things about the house that weren’t perfect for them- the bedrooms were small and the location wasn’t ideal for them, but they loved the house enough to compromise on those issues. They are very budget conscious and knew they didn’t want to spend a dollar more than $400k, so they wrote an offer at a  number they felt comfortable with. Another buyer wrote higher, and Rachel and Rubin got back-up position. At that time, they were disappointed they didn’t get the house, but were certainly not distraught. We picked up from there and kept looking at houses. A couple of weeks after they got back-up, I received a call from the listing agent letting me know that the first position buyers had backed out and did my buyers still want the house? I got in touch with them and gave them the good news, and their answer was an immediate yes. They moved into first position, and timelines were started. The next day we went back to the house just to make sure they still loved it, and while at the house, they felt the love again. But later that evening, the doubts began to creep in. Whenever a buyer expresses doubt about a house, I take that as a strong signal that this probably isn’t the right house for them, and the sooner they can back-out, the better for everyone. Calling listing agents to let them know my buyers are backing out is never pleasant for me, but I knew Rachel and Rubin were making the right decision. Thankfully that cute little house was back in contract within the week.

Right after they backed out of the sweet bungalow, we found another house in SE that was also charming but the biggest wow factor was that the house had a HUGE yard- something that was really important to them. The kitchen wasn’t great, but the yard was so nice that they felt that they could always remodel the kitchen at a later date. They wrote on that house, but so did a bunch of other buyers, and they lost out on that house. Again, they were disappointed, but certainly not crushed. Shortly after that experience, they decided that they wanted to take a break from house shopping for the summer- Rachel was going to take some intense courses towards becoming an accountant, and Rubin was hopefully looking at a job promotion, and they figured after the summer was over, they would be ready to resume the search. Sure enough, on the last day of August, they got in touch with me to let me know they were ready to house hunt again.

They had a short list of houses they wanted to see, so that week we went and saw a few more houses. And that’s when they found the ONE. A mid-century in the Ardenwald neighborhood in Milwaukie with a fireplace, 3 good sized bedrooms, an open kitchen, hard-wood floors and a double lot. And the house was listed nearly $35k below the other houses they had written offers on. And like the other houses they had written on, this house was also a hottie. But this time I could tell that if they didn’t get the house, they would be majorly disappointed- this house was perfect in every way for them. We wrote an offer that night, and within a couple of days, the house received 3 more offers. I had expressed how much Rachel and Rubin loved the house, and let the listing agent know to let me know if other offers came in, because Rachel and Rubin were more than willing to revise their offer upwards to get the house. Thankfully the listing agent was terrific, kept me in the loop, and with her sellers permission, told me they were fine with an escalation clause. We wrote up an addendum revising the offer, included an escalation clause, and boom, that did the trick. Interestingly, the house was listed at $360k, and even with 4 offers including our escalation, it only went for $9,500 over list. Because Rachel and Rubin are so delightful, the whole transaction was smooth with happy buyers and happy sellers in the end. The sellers are taking 2 weeks after closing to move out, and really all Rachel wanted was to be in the house by Halloween, and three days before Halloween I’ll be meeting them at the house to hand over the keys.

Turning a No-Cause Eviction Lemon Into Homeownership Lemonade

Posted on by Alyssa Isenstein Krueger

When my buyers Kelley and Satomi first contacted me in early November the panic in their voices was palpable. A couple of weeks before they had unexpectedly been given a 90 day no-cause eviction notice from the home they had been renting in the Alberta area. Once the initial shock of receiving that notice wore off, they decided to see if they could make the move from being renters at the mercy of landlords to homeowners, despite the fact that they hadn’t planned on buying a home anytime soon and didn’t have a lot in savings to be able to make that  happen. In the couple of weeks since their no-cause eviction notice, they were able to get themselves a pre-approval letter from Umpqua Bank using the Oregon Bond rate advantage loan at 3.65% in combination with a second loan (called a MAP- mortgage assistance program) through the Portland Housing Center. I met them on a Saturday, and along with their 3 year old daughter we looked at a few homes on Sunday including a nice skinny house in Mill Park. By Sunday evening they decided to write an offer on the Mill Park skinny which was at the very tippy top of what they were approved for, but given their family’s needs, the 3 bedroom and 2 1/2 bath the home was listed at a price almost too good to be true for them. On Monday, we wrote up a full priced offer, and by Tuesday, the sellers accepted. Phew.

Once the sellers accepted their offer on Tuesday, I immediately sent over their sales agreement to lender extraordinaire Jennifer Leon at Umpqua, and she contacted Oregon bond to lock in their 3.65% rate. First thing Wednesday morning we received an email from Jennifer letting us know that the rate on the Oregon Bond had gone up 1/2 point over night, but fear not because Kelley and Satomi were locked in at that 3.65% rate. Given that rates have risen nearly a point over the last  year, the days of the below 4% rates are most likely over and won’t go back under that 4% in our lifetime. So not only did my buyers slip in just under the wire, they were the very last buyers to be able to use that rate with Oregon bond. There were so many ways that this whole situation could have transpired so very differently. Had their offer been accepted only a day later, the rise in the interest rate would have put their home out of reach. Had they not found a great home in a great area that was priced incredibly well, they would have been scrambling to find a decent home under $300k. Had the inspection gone south, they would have been thrown back into the mercy of the home price winds. But thankfully, everything went according to the best laid plan.  And when the appraisal came back nearly than 8% higher than the purchase price (I can’t recall ever seeing that happen before) it was yet another sign that the stars had aligned for Kelley and Satomi.