A few (okay moderate amount of) words on Short Sales

We are purchasing this property as a Short Sale.  It has been an exercise in patience, but I thought I'd take a moment to explain what exactly a Short Sale is and for inquiring minds, share with you our experience.

A Short Sale is a real estate transaction in which the sale falls short of the balance owed on the property's loan.  It occurs when the owner is in default on their mortgage, but the lender decides that selling the property at a moderate loss is better than going after the owner via legal action and foreclosure, which involves hefty fees for the bank and transfers the property to the bank's hands.  It avoids the property going derelict while the bank goes through the long process of selling the property (for potentially much less than a Short Sale price) and absorbing all the costs associated with that.

The market is flooded with transactions like these due to the credit crisis.  It's an unfortunate situation, but still more desirable than foreclosure for both the owners and the bank.  It has been a bit of a drawn out process, though nothing in comparison to the experience a cousin of mine has had in California.  I'm not sure if the timeline we've experienced is representative of the market as a whole, but here are the dates and particulars of our purchase so far.

We looked at the house on Valentine's Day - aren't we adorable? - and put in an offer on February 15.  In order to do so, we needed to be pre-approved for the purchase price and provide proof to the bank that we were not a financial risk.  At that point, we were informed that there was an offer already in and working its way through approvals, but we could serve as a back-up if that offer wasn't accepted.  Well, great.  We were told that offer had been put in at the beginning of February and was working through approval.  In late March, we still hadn't heard anything, but we learned the other buyers had walked due to the process taking so long, but that offer and # (we didn't know what it was) was continuing to move through the approval process.  On March 31, the original offer was accepted (less than ours!) and we stepped in to the buyers role.  At that point, both the seller and the bank had to approve our offer, which they did.  Per the terms of the Short Sale, we now have 30 days to close.  It was an agonizing wait, especially since we loved the house so much we couldn't really bring ourselves to look at other houses and risked missing the tax credit (which runs out April 30).

It's been a lot of hurry-up and wait.  We are under tight deadlines from the banks and lenders, but those same people (institutions?) pay no attention to their own self-imposed deadlines.  I'm still hesitant to call it a done deal (and why right now I think I am blogging to an audience of two), but as our realtor and friend Mike told us a few days ago, we are running out of excuses and reasons for it not to go through.  Bring it on, I say.  :)

Rainy day updates

Spending a rainy morning while Ryan is off doing RMc work watching the 1968 Thomas Crown Affair.  SO MUCH better than the one with Pierce Brosnan.  It's all shot in Boston and up on the North Shore.  My old place of employ, the Harrison Gray Otis House, HQ of Historic New England in Beacon Hill gets some screen time; so do Crane Beach and Myopia Hunt Club in Hamilton (watch out for a future entry on my Top Ten list).  Can't you just picture Ryan and I in our very own Hunter Dune Buggy, breeze in our hair, busting the crust of the environmentally-sensitive sand dunes?  Not if the TTOR and my tree-hugger other half have anything to do with it.  :)

An aside: I went to college with Faye Dunaway's son.  At tent city, the post-graduation celebration/daytime drinking extravaganza on the college lawn, the mothers of all my closest collegiate pals were caught staring a few tents over to catch a glimpse of Faye.  She was wearing a white suit and big sunglasses and is still very chic.

In other news, we are officially UNDER AGREEMENT on the Ipswich house (who knew there were so many stages to purchasing a home - P&S, under agreement, closing, sale... don't get me started on terms like escrow, insurance binder, and all the rest - this has certainly been a learning experience).  Very exciting stuff.  On this rainy day, we are awaiting a quote for half-roof re-shingling job which we had originally intended to do ourselves.  I think we will sit this one out and gather our resolve for the next 5 years of constant renovation.  The repaired roof is all that stands between us and closing.  And this rainy weather which will hold up said roof work.  I'm just about done with April Showers, thank you very much.

Top Ten Countdown - #8

The Mighty Ipswich River: The original old downtown (that we will be very nearby) is built along the Ipswich River. One-third of Ipswich's land mass is protected salt marsh and estuaries, which limits development and helps to preserve open space and scenic views. The Ipswich River flows 35 miles from the west to the town center, where a dam marks the change to a tidal estuary that continues to the Atlantic.  Old mill buildings - Ipswich was once the stocking capital of the world - have been converted to condos and store fronts. Choate Bridge is the oldest stone arch bridge in America, built in 1764.

Ipswich Top 10 Countdown - #9

Russell Orchards: On the way to Crane Beach on Argilla Road is a great apple orchard with not-so-great fruit-based wines, but what can you do? The apple cider donuts make up for it. So do the hay rides. And the Red Delicious apples. We brought our good friends - and Manhattanites - Story and Dan to drink in the New England charm of it all last fall and hope to make it a yearly tradition.

Define: shallop

Main Entry: shal·lop 

Pronunciation: \ˈsha-ləp\

Function: noun

Etymology: Middle French chaloupe

Date: circa 1578

1 : a usually 2-masted ship with lugsails
2 : a small open boat propelled by oars or sails and used chiefly in shallow waters

Who knew?

Caitlin's Mom has a knack for genealogy research and turns out a distant forbearer of the Smith Clan, Thomas Dudley, was one of the original settlers of Ipswich, in 1633.

From a the Town of Ipswich History: Agawam remained an uncolonized part of Massachusetts Bay Colony until 1633 when Governor John Winthrop sent his son, John, to establish a settlement to be called Ipswich. With his hearty band of twelve men, John sailed up the Ipswich River in his shallop on a cool March day and began his settlement on the banks of the river near the present wharf. Some earlier exploration must have informed the new settles that the banks of this tide river would provide an ideal place for a new community to be established. Here they would enjoy the advantages of fresh water, water power, good fishing, and an easy means of transportation. It was an extraordinary group of settlers who came to Ipswich - men of substance and education, who were among the key founders of the Puritan Commonwealth: Thomas Dudley, Deputy Governor; Magistrates Simon Bradstreet, Richard Saltonstall, and Samuel Symonds; and Ministers Nathaniel Ward, John Norton, William Hubbard, and Nathaniel Rogers.

Ipswich Top 10 Countdown - #10

Here's some really great things about our new town.

Crane Beach: This gem of a sandy North Shore beach has breath-taking dunes, miles of shoreline, and is a great spot to walk on the off season. An added bonus is the Green Dogs program that lets Tela - legally - get in on the action... between Labor Day and Memorial Day, that is. It's a favorite spot for horseback riders, too. Tela doesn't seem to mind them, she's usually too busy chasing waves or seagulls. Crane is also known for dreaded green heads mid-summer, but we think it's a small price to pay. Speaking of small prices... $15/year for Ipswich residents, complete with our very own parking lot! It fills up fast that first summer Saturday of the year... we should know. We once got turned away at the gate after making an escape from muggy Boston and were sent packing further north to Plum Island.

Here's some pictures a couple months after we got Tela at Crane.  It was a beautiful day in early spring - mid-March (2009).  You can see there is still some snow in the dunes.

Interior Shots

Here's some more pictures of the new digs.

This Old House

We are a little less than 20 days out from closing on our first house, an 1860 antique in historic Ipswich, Mass. Ryan is particularly excited about the already-named "Bro Barn," which will be great overflow space and we hope someday home to RMc Designs and Caitlin is most excited about the kitchen with salvaged doors from a local post office and the carrera marble island.

Here's some pictures of our new almost-home.