Originally Posted by twitchyzero (Post 9020033)

no one likes a major surprise like that though
it's like spending a good coin on a collector car then you find rust bumper to bumper underneath the carpet or something was fixed improperly...how much disruption and headache will that new fix cause you?

Originally Posted by Great68 (Post 9020044)

That's not a great analogy because that amount of problem with a car amounts to a much, much larger portion of it's overall value.

Yes I understand it's an inconvenience to deal with, so you have to go in with a financial contingency and the expectation that you will find something that needs fixing and then be happy if you don't.

I think home inspections are a bit of a racket anyways. If you have any basic knowledge of home construction you pick out 99% of issues yourself, if you read their contracts you'll see that they try really hard to absolve themselves of any liability whatsoever should they miss something. I used one when I bought my house, I don't know why, he didn't tell me anything I couldn't tell for myself. What a waste of $500.

Originally Posted by stylez2k4 (Post 9020042)

I managed to get a $750k loan on a $105k income, presumed $1200 monthly rental income, and 25% down-payment.

Originally Posted by Ch28 (Post 9020063)

The ridiculous part is you could be coming in with 25% over asking with no subjects and still be rejected :lol

Originally Posted by Special K (Post 9020103)

Before 2018 or after when those new lending rules come into effect?

Originally Posted by donk. (Post 9020107)

Would not matter
100k income = 450k loan by bank, 550k loan by private
Every 1000$/mo rental income gets you an extra 200k
Add in a downpayment, this and that, stretch those numbers up/down by 20%

Originally Posted by Tapioca (Post 9020106)

Quite a few people here live in the Tri-Cities. This recent sale caught my eye:

2604 Harrier Drive
R2541943
List: $1,298,000
Sold: $1,560,000

I guess someone really wanted a flat lot within walking distance of the Skytrain and Port Moody...

Originally Posted by Special K (Post 9020103)

Before 2018 or after when those new lending rules come into effect?

Originally Posted by twitchyzero (Post 9020033)

no one likes a major surprise like that though
it's like spending a good coin on a collector car then you find rust bumper to bumper underneath the carpet or something was fixed improperly...how much disruption and headache will that new fix cause you?

are 7-figure loans actually pretty common now? i'd figure it's mostly equity/cash if you're closing 2.3M homes fending off 12 other bidders

Originally Posted by Traum (Post 9020038)

A quick back-of-the-envelope calculation (guess?) would suggest that to qualify for a 7-figure loan, you'd need an annual household income of $250k, and it is still going to be a 30 year debt. If the bank is crazy enough to lend you $2M, you'd need at least a $500k combined income -- probably more -- to qualify for it.

If you are a power earner, would you really do that? I am probably thinking small here with my decidedly small time thinking, but I wouldn't be comfortable taking on a debt that large...

Originally Posted by Special K (Post 9020105)

If I was the seller, a no subject offer would be most attractive. The seller probably don’t know (and don’t want to know) what’s wrong with their house.

For sure, there are people who will take the chance to squeeze $50k-100k more on a $1.5-$2M house and go with subject offers.

Originally Posted by JDMDreams (Post 9020129)

^^ would the sellers even let you though? Considering there's probably other offers on the table in this market

Originally Posted by eclipseman (Post 9020128)

For those questioning no-subject-offers and purchasing without an inspection, you can always do an inspection before presentation of offers. Well worth the $4-500 and peace of mind going into any negotiations, especially in this climate.

Yes it will cost you, especially if you don't win the bid, but as someone else mentioned, it's a drop in the bucket when you're spending $1m+.

Originally Posted by eclipseman (Post 9020132)

Yes, I did this on a house recently prior to the seller's realtor presenting all the offers. According to my realtor, this typically gives you a leg up on competition as the sellers will see you as an extremely serious buyer. Obviously, your offer has to be competitive as well.

Originally Posted by rb (Post 9020137)

Trying to understand things... Assuming that not all of these crazy deals are all-cash, doesn't the bank still have the final say of whether to approve of the mortgage or not for the final sale price? It may not be an inspection subject or a subject to financing but I've seen instances where the bank has to assess or inspect the place before releasing the funds.

Originally Posted by rb (Post 9020137)

Trying to understand things... Assuming that not all of these crazy deals are all-cash, doesn't the bank still have the final say of whether to approve of the mortgage or not for the final sale price? It may not be an inspection subject or a subject to financing but I've seen instances where the bank has to assess or inspect the place before releasing the funds.

Originally Posted by EvoFire (Post 9020131)

7 Figure loans are common. I'd say most houses being sold in Vancouver and Burnaby are going to carry a 7 figure loan.



Real talk no BS cause we are in the market:
200k household income
500k equity in our town home
We are good for a 1.3m loan
$4500/month 30 years or ~5200-5300/m 25 years

At 30 years it gives us ammo to buy a 1.8m house and can own the whole damn thing and not rent it out, with a tight budget.
We can rent out the basement or whatever it is and live a comfortable life and pay down extra

Other things we have on our plate:
$1100/m daycare
$750/m car payment on the family car
Potentially paying out the M3 or selling or transferring it. Looking like I'll just buy out the lease as the bank cares about the payment and not the car.

It leaves us with around 8-10k yearly surplus after some semi-clear budgeting.



Talked to some friends who sold recently. They went no subject with a lower offer to guarantee a sale. The different was something like 15k on a 700k townhouse.

Originally Posted by westopher (Post 9020141)

Do you have more savings you’d put into the down payment? That just seems very tight to me.
We have about 300k equity in our condo. Our household income is just shy of 200k. No day care, no debt, no kids. We are trying to save quite aggressively as this income is pretty new to us, and money was tight before.
I couldn’t imagine taking on more than a 5-600k mortgage, but I’m pretty risk averse, also we like to take lots of trips over the course of a year, albeit small ones. Budgeting tightly like that is really scary to me, as things pop up, people move jobs, need time off for a multitude of reasons. I understand peoples priorities are different however, but I just can’t make those sacrifices for an address without a unit number in front of it. If we worked from home, or could I think my thinking would be different.

Originally Posted by westopher (Post 9020141)

Do you have more savings you’d put into the down payment? That just seems very tight to me.
We have about 300k equity in our condo. Our household income is just shy of 200k. No day care, no debt, no kids. We are trying to save quite aggressively as this income is pretty new to us, and money was tight before.
I couldn’t imagine taking on more than a 5-600k mortgage, but I’m pretty risk averse, also we like to take lots of trips over the course of a year, albeit small ones. Budgeting tightly like that is really scary to me, as things pop up, people move jobs, need time off for a multitude of reasons. I understand peoples priorities are different however, but I just can’t make those sacrifices for an address without a unit number in front of it. If we worked from home, or could I think my thinking would be different.