Spring Banter

[TalcottWx]

Turning 30 next week. Scary. 

Everyone keeps asking me, where I want to go for dinner? 

It's a stupid question. The answer will always be Abe & Louie's 

[powderfreak]

57 minutes ago, HoarfrostHubb said:

9 in a row for the Sox

Alex Cora is a leader.  They love playing for him.

[TalcottWx]

Just dropped a pretty penny on B's tickets for tomorrow night. The cool thing is affirm financing now. You can pay off the price of the ticket over 6 or 12 months for not too much of a hit interest wise. Should be warmer than opening day! 

[STILL N OF PIKE]

10 minutes ago, powderfreak said:

Alex Cora is a leader.  They love playing for him.

9 in a row. Wow. I haven't watched a pitch and wrote them off early.  Yikes

[NorEastermass128]

I know we have some real estate gurus here...seeking input. 
 

I’m looking into purchasing a condo in a new development (<15 units) that is still under construction. Today, I learned that the land will be leased to the developer in a 95 year Grounds Lease for a nominal sum. So, essentially, the developer (lessee) would be subletting to the unit owners.  The lessor is a third party LLC. My attorney is concerned as it could cause resale problems down the road. My realtor isn’t so concerned. I know I’m probably leaving a lot of important details out, but on its face, does this seem like a situation to avoid?

[DavisStraight]

6 minutes ago, NorEastermass128 said:

I know we have some real estate gurus here...seeking input. 
 

I’m looking into purchasing a condo in a new development (<15 units) that is still under construction. Today, I learned that the land will be leased to the developer in a 95 year Grounds Lease for a nominal sum. So, essentially, the developer (lessee) would be subletting to the unit owners.  The lessor is a third party LLC. My attorney is concerned as it could cause resale problems down the road. My realtor isn’t so concerned. I know I’m probably leaving a lot of important details out, but on its face, does this seem like a situation to avoid?

I've appraised many of those types of deals in my area. They're more common in Connecticut, lots of single families on leased land. What happens when the lease is up? You won't be around but some of the banks ask me that question, usually it gets extended for another long term lease. They don't have a problem on resale but they do sell for maybe 5% lower than a similar house on owned land.

[NorEastermass128]

11 minutes ago, DavisStraight said:

I've appraised many of those types of deals in my area. They're more common in Connecticut, lots of single families on leased land. What happens when the lease is up? You won't be around but some of the banks ask me that question, usually it gets extended for another long term lease. They don't have a problem on resale but they do sell for maybe 5% lower than a similar house on owned land.

Any concern that the lessor could raise the lease payment for the land?  What if this third party lessor goes belly up or gets this leased land tied up in litigation. Would this cloud my title and prevent me from selling?  I will add that the condo docs are still not finalized...I have until next Friday to sign P&S, I will need a condition to be included for my unfettered personal satisfaction of the condo docs once finalized and received. Otherwise, I walk. 
 

I’m in phase one. Apparently, phase two will increase sales prices by $20k across the board. 

[DavisStraight]

Just now, NorEastermass128 said:

Any concern that the lessor could raise the lease payment for the land?  What if this third party lessor goes belly up or gets this leased land tied up in litigation. Would this cloud my title and prevent me from selling?  I will add that the condo docs are still not finalized...I have until Friday to sign P&S, I will need a condition to be included for my unfettered personal satisfaction of the condo docs once finalized and received. Otherwise, I walk. 

There's always that chance but its not likely because he should be making money, I'd have to see the lease to answer all your questions. The one's I have done have a set fee for the duration of the lease so it can't go up. It's just a way for the developer to spread out his profits, do enough of them and you have money coming in for life, that's the main reason they do it like that. I guess there's tax benefits to the developer to from what I have gathered.

[TauntonBlizzard2013]

22 minutes ago, NorEastermass128 said:

I know we have some real estate gurus here...seeking input. 
 

I’m looking into purchasing a condo in a new development (<15 units) that is still under construction. Today, I learned that the land will be leased to the developer in a 95 year Grounds Lease for a nominal sum. So, essentially, the developer (lessee) would be subletting to the unit owners.  The lessor is a third party LLC. My attorney is concerned as it could cause resale problems down the road. My realtor isn’t so concerned. I know I’m probably leaving a lot of important details out, but on its face, does this seem like a situation to avoid?

The only small concern I would have personally is if the land got tied up in some sort of litigation (you may have mentioned this in another post).

[NorEastermass128]

12 minutes ago, DavisStraight said:

There's always that chance but its not likely because he should be making money, I'd have to see the lease to answer all your questions. The one's I have done have a set fee for the duration of the lease so it can't go up. It's just a way for the developer to spread out his profits, do enough of them and you have money coming in for life, that's the main reason they do it like that. I guess there's tax benefits to the developer to from what I have gathered.

The annual rent from the lessee developer to lessor is $10. Not sure I see the benefit?  

[mreaves]

Will banks do conventional  mortgages on leased land?

[TalcottWx]

37 minutes ago, NorEastermass128 said:

I know we have some real estate gurus here...seeking input. 
 

I’m looking into purchasing a condo in a new development (<15 units) that is still under construction. Today, I learned that the land will be leased to the developer in a 95 year Grounds Lease for a nominal sum. So, essentially, the developer (lessee) would be subletting to the unit owners.  The lessor is a third party LLC. My attorney is concerned as it could cause resale problems down the road. My realtor isn’t so concerned. I know I’m probably leaving a lot of important details out, but on its face, does this seem like a situation to avoid?

I worked in RE for a few years. I'm no expert on the matter, but I would always side with personal attorney over realtor on any matter. If you trust the attorney, that is. Some lawyers have their heads up their asses and can make a big deal out of nothing. This might be something to seek a second opinion on from perhaps a different attorney. 

[NorEastermass128]

1 minute ago, mreaves said:

Will banks do conventional  mortgages on leased land?

I’m guessing the developer won’t get all units to pay cash...otherwise, he’s up Schitt’s Creek. 

[NorEastermass128]

1 minute ago, DotRat_Wx said:

I worked in RE for a few years. I'm no expert on the matter, but I would always side with personal attorney over realtor on any matter. If you trust the attorney, that is. Some lawyers have their heads up their asses and can make a big deal out of nothing. This might be something to seek a second opinion on from perhaps a different attorney. 

100% agree. My attorney isn’t nuking the deal, just raising flags. If the condo docs were available, that would probably help a lot. 

[DavisStraight]

16 minutes ago, mreaves said:

Will banks do conventional  mortgages on leased land?

Yes

[DavisStraight]

24 minutes ago, NorEastermass128 said:

The annual rent from the lessee developer to lessor is $10. Not sure I see the benefit?  

The one's I've done have been $100, and they have 35-30 houses on the land. That's why I'd have to see the lease to know more.

[DavisStraight]

35 minutes ago, NorEastermass128 said:

100% agree. My attorney isn’t nuking the deal, just raising flags. If the condo docs were available, that would probably help a lot. 

Here's a good article on pros and cons of leased land properties,

 

The Pros and Cons of Buying Property on Leased Land (acpm1.com)

[weathafella]

The Red Sox have had strong pitching.  Always has been the name of the game.

[DavisStraight]

4 minutes ago, weathafella said:

The Red Sox have had strong pitching.  Always has been the name of the game.

Chaim's done a good job finding pitchers, Whitlock looks like a rule 5 steal, and from the Yankees no less.

[Ginx snewx]

My personal story on weight. When I was disabled from 2 back surgeries and pulmonary embolism back in Dec I lost 42 lbs and was weak as hell. I guess my body needs weight as I gained 25 back and feel great. I eat everything but in moderation but Italian bread is my downfall. Jelly beans and Reeces also are a danger. Lol. My sugar is fine though.  My nieces husband died the other day from multiple strokes. Absolutely the picture of health, runner, athlete, never smoked drank little, ate the healthy way. You just never know. I am at the stage of life where some excess is ok but moderation is better but if I want  steak and potatoes lathered in salt and pepper so be it.  

[NorEastermass128]

11 hours ago, DavisStraight said:

The one's I've done have been $100, and they have 35-30 houses on the land. That's why I'd have to see the lease to know more.

If you have a throwaway email, feel free to share or PM me. I have a redacted copy I can share with you for Schitts and giggles. 

[DavisStraight]

37 minutes ago, Ginx snewx said:

My personal story on weight. When I was disabled from 2 back surgeries and pulmonary embolism back in Dec I lost 42 lbs and was weak as hell. I guess my body needs weight as I gained 25 back and feel great. I eat everything but in moderation but Italian bread is my downfall. Jelly beans and Reeces also are a danger. Lol. My sugar is fine though.  My nieces husband died the other day from multiple strokes. Absolutely the picture of health, runner, athlete, never smoked drank little, ate the healthy way. You just never know. I am at the stage of life where some excess is ok but moderation is better but if I want  steak and potatoes lathered in salt and pepper so be it.  

I have a weakness for jelly beans too, its the only sugar I nibble on now and then.

[RUNNAWAYICEBERG]

1 hour ago, Ginx snewx said:

My personal story on weight. When I was disabled from 2 back surgeries and pulmonary embolism back in Dec I lost 42 lbs and was weak as hell. I guess my body needs weight as I gained 25 back and feel great. I eat everything but in moderation but Italian bread is my downfall. Jelly beans and Reeces also are a danger. Lol. My sugar is fine though.  My nieces husband died the other day from multiple strokes. Absolutely the picture of health, runner, athlete, never smoked drank little, ate the healthy way. You just never know. I am at the stage of life where some excess is ok but moderation is better but if I want  steak and potatoes lathered in salt and pepper so be it.  

Yup. Let’s not miss out on our joys in life. Everyone’s body structure is different so as long as one stays active, go for it. My wife’s grandmother smoked like a chimney since she was 16 and salted everything, and lived until 90. Ya just never know. 

[dryslot]

4 minutes ago, RUNNAWAYICEBERG said:

Yup. Let’s not miss out on our joys in life. Everyone’s body structure is different so as long as one stays active, go for it. My wife’s grandmother smoked like a chimney since she was 16 and salted everything, and lived until 90. Ya just never know. 

Its all genetics.

[DavisStraight]

29 minutes ago, dryslot said:

Its all genetics.

It sure is, my father's side most lived to 90 even pushing 100, my mother's side 70's was tops. It remains to be seen which genes I inherited, I'm just going to try and stay active and in good shape and eat well and see what happens.

[dryslot]

1 minute ago, DavisStraight said:

It sure is, my father's side most lived to 90 even pushing 100, my mother's side 70's was tops. It remains to be seen which genes I inherited, I'm just going to try and stay active and in good shape and eat well and see what happens.

My dad is 89, My mom is 85, Both are doing ok for there age.

[NorEastermass128]

22 minutes ago, DavisStraight said:

It sure is, my father's side most lived to 90 even pushing 100, my mother's side 70's was tops. It remains to be seen which genes I inherited, I'm just going to try and stay active and in good shape and eat well and see what happens.

Most on my mom’s side live well into their 90s, a couple pushing 100+. My dad’s side, different story. He’s 64 and healthy enough, his older living brother is 66. His other brothers died at 51 and 56. His dad (my grandfather) died at 63. None of his uncles lived longer than 68. I take after his side. I may need to retire at 45. 

[BrianW]

26 minutes ago, DavisStraight said:

It sure is, my father's side most lived to 90 even pushing 100, my mother's side 70's was tops. It remains to be seen which genes I inherited, I'm just going to try and stay active and in good shape and eat well and see what happens.

You can pretty much find out everything you want to know about your genetics/health with a DNA test now. I paid a few companies to analyze my DNA for health risks and traits. Its scary how accurate it is.  

 

[tamarack]

1 hour ago, dryslot said:

Its all genetics.

Certainly important but probably not the whole story.  My mom smoked heavily for 40 years then quit cold turkey when her COPD (Emphysema in her case) was diagnosed.  Her lungs gradually failed over the next 15 years until the strain caused her death, probably from a stroke, at age 70.  Had she not quit she probably wouldn't have reached 60.  Her 2 (nonsmoking) sisters lived into their 90s with good health up until their final (fairly short) illnesses.

[dryslot]

Just now, tamarack said:

Certainly important but probably not the whole story.  My mom smoked heavily for 40 years then quit cold turkey when her COPD (Emphysema in her case) was diagnosed.  Her lungs gradually failed over the next 15 years until the strain caused her death, probably from a stroke, at age 70.  Had she not quit she probably wouldn't have reached 60.  Her 2 (nonsmoking) sisters lived into their 90s with good health up until their final (fairly short) illnesses.

Like anything else, They're exceptions, But i think genetics play a pretty big roll.