Well in basement conventional loan for estate farm house

[snorie797]

Me and my fiance are looking at buying an old faem house, it has what I believe a sand point well in the basement. Where the a rod is pounded into the fround because the water basib sirs high on the property. Were going to go conventional if possible. Will this well cause a problem with a house inspection for a conventional loan? How picky is a home inspector for a conventional loan? Theres also so e sort of drainage pipe that goes into a large plastic 45 gallon container in the basement, and then looks to be pumped out of the house from that container. Those are the only two things that would cause any problems with the house. And they are both possibly legal items.

Thanks in advance,

Laura

 

[sputnam]

Sounds like the dwelling has a sump. Sumps are intended to manage unwanted water in a basement. Laws vary from place to place but, I've never heard of a sump being illegal.

 

[Kim Whiting]

Go ask FANNIE.......they control everything and if they feel "uncomfortable" with your situation you will be denied. Then go to the next PLAYER....well fargo....they're set to take what FANNIE won't.....the world has changed.

 

[snorie797]

That is assuring. I was so worried it was a well and that we would be denied a loan. How picky are home inspectors for a conventional loan? And what do you think about the large bin that has a pipe draining to it? Would it ge a problem? Would they really even go in the basement and pick around? And say fannie wont like it your saying wells fargo would then be okay with what fannie wouldnt be?

 

[Terrel L. Shields]

FHA isn't keen on wells inside dwellings. Home inspectors do not consider the loan ramificiations only appraisers do. Fannie may have issues with it. The well can be sealed but the sump appears to be a water problem that is likely on-going. And that, to me, sounds like a money pit, charming or not. If cheap enough, perhaps I'd consider it, or simply tear down the house and build anew.

If you want a country home, build a super energy efficient home on a small parcel and avoid all the repair and water issues you may be buying in...just a thought. Some people just love old homes....I personally got tired of the maintenance and built a new house which is now becoming a maintenance headache.

 

[Mr Rex]

Old houses tend to follow the market to the extremes. In hot markets they do well as folks have money and good intentions. In slow markets they fall like rocks as no one wants the headaches of maintaining an old home. Regardless of how much recent updating has been done, an old house is an old house and old houses need fairly constant repairs and maintenance. If it were me and I was enamored with old houses, I'd build a new home that replicated the look and features that I liked in old houses. YMMV.

 

[Renee Healion]

Mr. Rex I agree. I see old house purchases as a romantic move. I am glad people place value in them (however sorry I may be that I once did, myself!)

There are times when people let themselves make these purchases. Tough economic times chasten those romantic impulses and buyers make far more practical decisions.

The values of these properties to change on a different wave than the rest of the residential market, though their value is affected by the same issues of credit, employment, etc. I just envision it as waves, and those antique house waves are broadly the same but are somewhat out of synch with the rest.

As for what qualifies as an "old house" varies widely on a regional basis I have learned from this forum.

 

[snorie797]

Hello and thanks for your thoughts and opinions. We are not buying this because we think its a cute old house, I am a farmer, and a gardener. And we want a place where I can raise my sheep, and animals, and have my greenhouses, my bakery, and my soap business. And this is the perfect place. We want a place that needs some fixing, thats what happens with an old farm house. We both grew up in old farm houses, that needed repairs. And thats what we both want, a house we like that needs repairs, its worth it to us. and for the amount the houses is selling for is a good price. Comes with 22 acres a new pole barn, older barn, and a 2nd modern home. Which we assume they live in during the winter, so they dont have tonheat a 3000 sq ft home to there liking. Which isnt a problem with us. We both grew up in homes that their main heat during winter was a wood stove, and the house was usually 45 to 50 degrees.

 

[TxArmadillo]

If it were me and I was enamored with old houses, I'd build a new home that replicated the look and features that I liked in old houses. YMMV.

This is exactly what folks around here are doing -- ten plus acres in the middle of nowhere and off a gravel road, turn of the 19th century architecture, state of the art construction methods, modern appliances with turn of the century faux coverings, and thermal insulation packages.

All of the charm with none of the headaches. Plus, they are a blast to appraise!

 

[Terrel L. Shields]

we want a place where I can raise my sheep, and animals, and have my greenhouses, my bakery, and my soap business. And this is the perfect place.

You have a mini-farm and that isn't likely to meet FHA or Fannie mae standards. Perhaps you can look at Farm Credit for potential lending or just a conventional in house loan held by the bank. The lending standards will allow for that. FHA and Fannie do not lend on farms and if you intend to use the place as a farm, then you need financing from a farm bank.