Doug Rogers Bayou Properties Realty

 In his defense, the new car was sweet. A Car and Driver 10Best, the BMW 3 series was worth a second glance. The exterior was a work of art, and the interior had enough leather to make a cow nervous. So why did this pretty car cause my stomach to turn? Because my pre-approved buyers just pulled up in it!

 Last summer I spent a couple of weeks touring homes with this family. The budget would be tight, but they could manage to buy a nice home in their target area. Then they buy a Bimmer...

 The roughly 650 dollar payment destroyed their debt ratios (debt/income). Due to the car purchase they then qualified for a far more modest home. We essentially went from looking at granite to old Formica. Any agent will tell you this is a tough transition.

 The sad part is the car dealer told them the purchase would not impact their house hunt. "This debt won't show up for several months" or something along those lines. Guess what? It did...

 After learning what their revised budget affords, my buyer signed an extension on his apartment. The moral of the tale is to not make any major purchases when house hunting. Absolutely need new transportation? Talk to your mortgage professional in advance.

 Ready to take the next step toward home ownership? Call Doug Rogers with Bayou Properties Realty (318) 613-1994. Or click www.LouisianaHouseHunter.com

Doug Rogers Bayou Properties Realty

 

 

 

Searching for a Top real estate agent in Alexandria Louisiana? Need help selling your Pineville, Louisiana home? Either way call Doug today!

Doug Rogers

Associate Broker

Century 21 Millennium


Century 21 Millennium

donahue Ferry Road

Pineville, La, 71360

(318) 640-2121

Each office independently owned and operated. Equal opportunity housing. Doug Rogers is a licensed real estate agent in Louisiana



 

 
Star Posted by Doug Rogers- Your Pineville Louisiana Agent on 03/18/2012 08:31 AM   Comments (72)   That New Car Cost You a New House in the ActiveRain Channel   doug rogers bayou properties realty  
Short URL: http://actvra.in/xq8
This post has been included in Louisiana Real Estate News Rapides Parish, LA Real Estate News Alexandria, LA Real Estate News
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Post is included in group: FOR SALE BY OWNER - MARKETING(FSBO)
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72 Comments on That New Car Cost You A New House

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MAR
20
2012
Localism Sponsor

Doug,

These stories are all too plentiful.  What's a few weeks of working with clients for nothing?  Or, maybe I can still sell them something in a few years.  These are things I tell myself, as I'm licking my wounds, when it happens to me!
8:23am • #53
269,891 Points 13 Featured Posts Outside Blog Called Shot Master

So sad when people do this.  I haven't had it happen yet and am always quick to tel them not to buy anything, not even furniture.  And there goes your commission.  Ouch!
9:11am • #54
195,837 Points Outside Blog

It constantly amazes me that future buyers don't consult with a Realtor first before they begin house hunting seriously so they can avoid the obstacles that would prevent them from getting a home.

I was doing an open house with a lot of activity and many visitors, yet many were not working with a Realtor nor were informed about the process to purchase a home. No approved loan, no idea about DTI, just uninformed or misinformed consumers. Wow!
9:30am • #55
483,884 Points 59 Featured Posts Outside Blog Called Shot Master

Yep ... this happened to me too. It delayed escrow for two weeks and almost blew up the sale. That car salesman needs to have a talking to.
10:23am • #56
497,860 Points 13 Featured Posts Outside Blog Called Shot Master

Hi Doug, unfortunately there are almost as many ways to screw up your credit as there are buyers!
11:13am • #57
701,387 Points 39 Featured Posts Outside Blog Called Shot Master

Been there, had the 'Bimmer' payment even thought I thought it was BEAMER.
11:32am • #58
1,584,684 Points 430 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Too bad! I bet most of us counsel our buyers to not do any buying during the purchase or pre-purchase period, and I suspect many mortgage officers do as well, but it seems some buyers just don't believe it. I have had buyers get their credit checked AGAIN the day before closing. Thankfully they were good but I know someone who was not so lucky. Nope, no closing.

Carla is right - not a beemer, a bummer!!
1:20pm • #59
421,954 Points 16 Featured Posts Called Shot Master

Another example of why most overpaid people die broke, thier largest investment will be worth nothing in afew short years.

At the same time, most future millionaires that I know drive beat up old vehicles to manage thier real estate investments.
5:19pm • #60
Outside Blog

Hi Doug, the next best story is we bought everything on lay away till 2013, all we pay is the interest.
5:59pm • #61
137,178 Points 1 Featured Post Outside Blog Attended Rain Camp

What a sad story.  At least the car salesman had a payday.  I always remind people not to buy ANYTHING while looking for a home.  Just keep paying the bills early, and do not bounce any checks.
6:22pm • #62

I am dealing with that exact same scenario right now with a client... No fun.

 
7:15pm • #63
535,883 Points 71 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Thanks for all the comments!
7:30pm • #64
1,023,536 Points 15 Featured Posts Localism Sponsor Outside Blog Called Shot Master

I hope the car salesman gets run over by a truck.  That is crap and some of those guys will do anything.
9:06pm • #65
MAR
21
2012

Excellent advice! Even if the payment didn't show on credit the inquiry would show.

Then he would have to write a statement what the inquiry was for and if credit was granted.

 

 
5:13am • #66
Outside Blog

On a side note ;-)  "Beamers" are BMW motorcycles...  "Bimmers" are BMW cars.  That is your useless fact for the day ;-)

 
7:38am • #67
535,883 Points 71 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Paul-- I want one of each. Haven't had the "car bug" like this in years.
7:58am • #68
187,180 Points 7 Featured Posts Outside Blog

This just keeps happening over and over no matter how many times you warn buyers.  As mine get close to mortgage commitment I hound them every week with reminders that if they purchase so much as a new set of pots and pans I will clobber them with them.  LOL
11:07am • #69
761,765 Points 69 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Yep, the biggest no no when buying a house is to zip that wallet until the loan is done.  That's too bad.  Maybe they can move into the Beemer.
10:10pm • #70
MAR
22
2012
116,108 Points 1 Featured Post Outside Blog

Well said Doug. I just had this discussion with a prospective Buyer myself. Thankfully they did not make the same mistake as your clients. In the future I will mention this to my clients in my inital client meeting.

 
7:38pm • #71
OCT
28
237,041 Points 5 Featured Posts Called Shot Master

I tell my clients not to buy anything until the house closes. So far so good.
9:20pm • #72

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Doug Rogers- Your Pineville Louisiana Agent

Pineville, LA

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Century 21 Millennium

Address: 2690 Donahue Ferry Road, Pineville, LA, 71360

Office Phone: (318) 640-2121

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