Builders

[Terrel L. Shields]

Looking at backside of a street. Zillow does not show a single dwelling on that row of 15 even listed let alone sold but each sign clearly states it is "sold"... all 15 of them. But if you drive that half block street, in front it is clear not a single one of the houses are complete with the possible exception of one that does have the garage door on. The rest are without garage doors and there are ladders, etc. inside the garage. WTF? This is Rausch-Coleman development, R-C was bought out by Lennar. Prior to the buy out most R-C houses were brick siding. Lennar? All vinyl or siding it looks like. Cheaper no doubt, Priced under $300k ? At least one on an adjacent block shows it being $256k. Similar but better houses across the road (to the right) are selling at $300k+ and are 200 SF larger or more. And they are brick siding. Go figure.

 

[Mike Ault]

I've run into that before and found that they were built under this financing scheme.

AI Overview



"One-time closings" typically refer to One-Time Close Construction Loans (OTC), a streamlined mortgage that bundles land purchase, construction financing, and the permanent mortgage into a single loan with just one application and closing, avoiding the need to re-qualify for a second loan after building, saving costs and complexity. These loans, also called construction-to-permanent loans, convert automatically to a standard mortgage once the home is complete, offering significant savings on fees and interest rate protection by locking it in early.

 

[Joe Flacco]

It's probably all 15 lots sold. $300k for 15 lots.

 

[TerryRohrer]

At this point, no one really has a clue who is walking among us claiming to be an appraiser. The following was in a response I received yesterday to an appraisal delivered last week: "We have learned that the estimated values posted to various real estate websites is based off incorrect information." Nothing in my report could be construed as a suggestion I even looked at those websites (I never do, they are irrelevant here). I wouldn't be a bit surprised if builders and lenders are populating those "various real estate websites" with data they hope (with cause) will be used in appraising their upcoming transactions.

 

[J Grant]

The problem used to be lack of information.
Now the problem is an overload of a deluge of infromation - esp to the public none of it vetted, and part of it corrupt or misleading - RE agents staging photos on MLS, giving incorrect sf of dwellings, lying aobut views, and builders not disclosing concessions and financing perks or that the first tier of sales were "appraised" by the builders own cherry picked " appraisers" to hit a number or taht the fist few houses were "sold" to the builders friends/family for the first few comps, or that builder lot premiums are invented out of thin air. etc.

 

[OSU Beavers]

 

[Terrel L. Shields]

It's probably all 15 lots sold. $300k for 15 lots.

Steele Dev. bought a farm (I actually appraised the place pre-sale.) Steel Dev. then transferred in 2024 to Rausch Coleman (who got bought out by Lennar in Feb 2025)..then it shows R-C selling it back to Steele??? The lots are not recorded yet, and R-Coleman RE is the one with all 15 listings. Dangifino. The deed (last one) is for 31 acres in September, then in November it is deeded back to Steel as 36 acres... No revenue stamps on any. The site has been platted and the 15 lots marked "sold" are on the far right on the thru street separating parts of the original Crowder farm. Again, only one house seems to be complete and the others are still under construction but all of them have R-C RE signs on Crowder Ave but all face the other street. And every single sign is marked "Sold" not pending, not under contract, "Sold".

 

[Mark K]

I've run into that before and found that they were built under this financing scheme.

AI Overview



"One-time closings" typically refer to One-Time Close Construction Loans (OTC), a streamlined mortgage that bundles land purchase, construction financing, and the permanent mortgage into a single loan with just one application and closing, avoiding the need to re-qualify for a second loan after building, saving costs and complexity. These loans, also called construction-to-permanent loans, convert automatically to a standard mortgage once the home is complete, offering significant savings on fees and interest rate protection by locking it in early.

A local S&L used to offer those loans and I appraised hundreds of new builds under that program. Saves the owner quite a bit of money. I did the const. loan appraisal, 4 inspections plus a final. I loved them; good $$ for the appraiser. However, these were all custom homes with various builders, not production cracker boxes. After approval of the final, the loan simply converted the construction loan to a permanent mtg. at the rate and terms signed maybe 6 months earlier. Up to the final closing, the borrowers paid interest-only on the amount drawn.

Only hiccup would be when the owners would exceed their allowances, significantly, and I'd have to update the appraisal at the end.

 

[Mike Ault]

A local S&L used to offer those loans and I appraised hundreds of new builds under that program. Saves the owner quite a bit of money. I did the const. loan appraisal, 4 inspections plus a final. I loved them; good $$ for the appraiser. However, these were all custom homes with various builders, not production cracker boxes. After approval of the final, the loan simply converted the construction loan to a permanent mtg. at the rate and terms signed maybe 6 months earlier. Up to the final closing, the borrowers paid interest-only on the amount drawn.

Only hiccup would be when the owners would exceed their allowances, significantly, and I'd have to update the appraisal at the end.

I actually did a few myself back in the mortgage company days but my first introduction to them was similar to Terrell's, WTF is going on here?