Money Pit of a house

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CtScrtDsse
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Joined: Wed Mar 31, 2021 2:14 pm

Money Pit of a house

Post by CtScrtDsse »

About a year ago, my spouse in I bought a house in which we thought we wanted to raise our family in. We just got out of student loan debt last year, and put a down payment on our $501,000 house last July built in 2003. 14 months later it has been the ultimate money pit. We've already had to put $17,000 out of pocket into it but now there are some additional major plumbing issues (another conservatives estimate of $13,000-$15,000). Some of it seems like "bad luck" other parts seem like very poor construction. Homeowners insurance is covering very little (flooded kitchen). I'm 8 mo. pregnant and exhausted. We've putting every dollar when earn into this house. We had an initial inspection and it showed none of these initials issues. I'm probably partially just ranting, exhausted, and overwhelmed, but has anyone had any other experiences or recommendations? I'm just at my ends.


1) Broken /Replaced Water Heater Fall 2020 $75 *
2) Broken/Replaced Garbage Disposal Fall 2020 $75 *
3) Broken/Replaced Refrigerator Ice Dispenser Fall 2020 $75 *
4) Fixed Drain in upstairs bathroom Winter 2020 $200
5) Fixed Faulty electrical work in Basement/Garage/outside
*lost entire freezer full of breast milk Winter 2021 $500
6) Fixed Outdoor columns Spring 2021 $12,700
7) Lightning strike---broken electronics Spring 2021 $1,100
8) Woodpecker damage/pest spray Spring 2021 $600
9) Leaking sump pump line in backyard
• Two different tubing sizes used, replace ? $500
• Sump pump drain in neighbors yard, retrench ? $1,500
• Resod backyard ? $1,000
10) Dishwasher leak
• Two different tubing sizes used, replaced $20
• Fans and dehumidifiers prevent mold $1,200
• Replace cabinets, possible floor ? 2,000
11) Pike Leak beneath House
• Diagnosis by Reliable Leak Detection $500
• Reroute pipe ? $8,000-$10,000


Total: $17,065 ?13,000-$15,000
tedgeorge
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Re: Money Pit of a house

Post by tedgeorge »

Water problems are the worst. We moved in to our newly renovated house and the first day the showers backed up. Had to replace the sewer line going to the street. The pipe was old to begin with and I guess the construction trucks parked in the yard on top of it were enough to break it. And there have been other things along the way too but we're finally at a stable place in home repairs...hopefully. I really feel for you and the loss of the freezer full of milk. That was a precious commodity at one time in our house too.

Hopefully you'll at least be able to sleep knowing you fixed these things the right way and you won't have to deal with it for a long, long time!
runner3081
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Re: Money Pit of a house

Post by runner3081 »

Those are mostly all normal costs of home ownership. Consider yourself lucky at <$20k.

Did you get a home inspection, by chance?
Jags4186
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Re: Money Pit of a house

Post by Jags4186 »

Welcome to home ownership. Stuff is expensive, especially if you are not handy. This is why people advocate not stretching for a house, especially if you are of average to above average income.
dbr
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Re: Money Pit of a house

Post by dbr »

I would say these things are pretty normal though perhaps in a bit of a bunch. Maybe the plumbing problems ought to have been more evident, especially a pipe leak beneath the house, and whatever was needed on those columns. Those items seem out of line for a house that is not that old. Same would apply to faulty electrical work. I sure hope there is not more to be found. That would have been an inspection item.

Wait until the city repaves your street with sewer and water upgrades and socks each property with a $10,000 assessment. Also, maybe you have $10,000 in property tax every year.

You can probably look forward to roof, exterior painting, windows, sidewalk and driveway upgrades, landscaping and on and on.
Living Free
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Re: Money Pit of a house

Post by Living Free »

Joys of home-ownership. I feel like my house has been a money pit too. I bought in 2017. It's at least appreciated a good bit in value since then...hopefully when time comes to sell we'll make out ok, but planning to stay put for a good while.

Seems like mostly minor wear and tear type stuff you've dealt with, just with a couple big ticket items close together (bad luck). Also, did you replace a water heater for $75?

As noted above, becoming more handy (doing things like a garbage disposal or drain replacement yourself) can save some money, but for a lot of these items i'd have called a professional.
Onlineid3089
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Re: Money Pit of a house

Post by Onlineid3089 »

It stinks that it's all coming at once shortly after buying, but chances are you'll go many years without major expenses. I've heard 1% of house value as a rule of thumb, but of course that average plays out as many years of no significant expenses and a year or two of high expenses.
namajones
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Re: Money Pit of a house

Post by namajones »

My father called houses "money pits." My own experience with home ownership bore that out.

I wish I had some comforting words for you.

After replacing roof, windows, kitchen, water heater, doors, fixing deck, on and on and on, I said "uncle" and got rid of the place, moved into a condo, where I have been happily ever since.
Last edited by namajones on Tue Oct 12, 2021 3:11 pm, edited 1 time in total.
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SmileyFace
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Re: Money Pit of a house

Post by SmileyFace »

What percentage of your home's value did you budget for in maintenance and repairs?
You have had to pay 3% of your home's cost in repairs and now face having to pay about 2 to 3%. I read somewhere you should budget 2 to 5% a year for maintenance and repairs (although I have never had to budget this much) so I don't think your experience is abnormal and not quite in enetering the money pit category (not like you are putting in 20%).. Hoepfully you will get over the hump and be good to go for a while once past these issues. I do find when it rains it pours - had to replace my roof and then my furnance failed the same year - so good to have solid energency account savings.
cbs2002
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Re: Money Pit of a house

Post by cbs2002 »

CtScrtDsse wrote: Tue Oct 12, 2021 2:30 pm 1) Broken /Replaced Water Heater Fall 2020 $75 *
2) Broken/Replaced Garbage Disposal Fall 2020 $75 *
3) Broken/Replaced Refrigerator Ice Dispenser Fall 2020 $75 *
4) Fixed Drain in upstairs bathroom Winter 2020 $200
5) Fixed Faulty electrical work in Basement/Garage/outside
*lost entire freezer full of breast milk Winter 2021 $500
6) Fixed Outdoor columns Spring 2021 $12,700
7) Lightning strike---broken electronics Spring 2021 $1,100
8) Woodpecker damage/pest spray Spring 2021 $600
9) Leaking sump pump line in backyard
• Two different tubing sizes used, replace ? $500
• Sump pump drain in neighbors yard, retrench ? $1,500
• Resod backyard ? $1,000
10) Dishwasher leak
• Two different tubing sizes used, replaced $20
• Fans and dehumidifiers prevent mold $1,200
• Replace cabinets, possible floor ? 2,000
11) Pike Leak beneath House
• Diagnosis by Reliable Leak Detection $500
• Reroute pipe ? $8,000-$10,000
Total: $17,065 ?13,000-$15,000
You replaced a water heater for $75? What am I reading wrong here? I can't even get a service inspection for less than $100 where I live, much less a repair, which I generally do myself if possible.

None of this counts as "money pit" except for "Fixed Outdoor Columns" for $12700 - yikes! Are these structural columns that were endangering a roof section? That's a form of having bought too much house, but at least now they are fixed.

What exact "pipe beneath the house" do you need to move and why?
dbr
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Re: Money Pit of a house

Post by dbr »

FWIW we finished the summer with $50,000 on painting and major brick and cement work around the house. Admittedly this year would be a thirty year high for housing costs for us only equaled by the year we remodeled the kitchen, did extensive electrical work, and reroofed. But our house is over 100 years old. People probably don't expect such things in newer homes. Also, this work can get a lot more expensive when one is old enough not to be teetering on ladders around a house. But the contractors were really, really good.

A few years ago we rebuilt a shower in the basement and when the contractor started work and said "We have to talk." that conversation was worth about $2000 dealing with sewer issues we hadn't realized.
criticalmass
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Re: Money Pit of a house

Post by criticalmass »

CtScrtDsse wrote: Tue Oct 12, 2021 2:30 pm About a year ago, my spouse in I bought a house in which we thought we wanted to raise our family in. We just got out of student loan debt last year, and put a down payment on our $501,000 house last July built in 2003. 14 months later it has been the ultimate money pit. We've already had to put $17,000 out of pocket into it but now there are some additional major plumbing issues (another conservatives estimate of $13,000-$15,000). Some of it seems like "bad luck" other parts seem like very poor construction. Homeowners insurance is covering very little (flooded kitchen). I'm 8 mo. pregnant and exhausted. We've putting every dollar when earn into this house. We had an initial inspection and it showed none of these initials issues. I'm probably partially just ranting, exhausted, and overwhelmed, but has anyone had any other experiences or recommendations? I'm just at my ends.


1) Broken /Replaced Water Heater Fall 2020 $75 *
2) Broken/Replaced Garbage Disposal Fall 2020 $75 *
3) Broken/Replaced Refrigerator Ice Dispenser Fall 2020 $75 *
4) Fixed Drain in upstairs bathroom Winter 2020 $200
5) Fixed Faulty electrical work in Basement/Garage/outside
*lost entire freezer full of breast milk Winter 2021 $500
6) Fixed Outdoor columns Spring 2021 $12,700
7) Lightning strike---broken electronics Spring 2021 $1,100
8) Woodpecker damage/pest spray Spring 2021 $600
9) Leaking sump pump line in backyard
• Two different tubing sizes used, replace ? $500
• Sump pump drain in neighbors yard, retrench ? $1,500
• Resod backyard ? $1,000
10) Dishwasher leak
• Two different tubing sizes used, replaced $20
• Fans and dehumidifiers prevent mold $1,200
• Replace cabinets, possible floor ? 2,000
11) Pike Leak beneath House
• Diagnosis by Reliable Leak Detection $500
• Reroute pipe ? $8,000-$10,000
Total: $17,065 ?13,000-$15,000
You paid just $75 for a water heater, was that a warranty or insurance claim? Regardless that is significant savings. The garbage disposal (not really necessary) and ice maker (also not really necessary) are much cheaper replacements, but at $75, that's not bad either.

Woodpecker damage can happen wherever there is aging wood trim. I replaced wood with synthetic years ago and no more problems.
A lightning strike is bad luck, you can get whole house surge protectors, which may or may not help in the future.

I don't understand the sump pump problem description....two sizes of pipe? Who cares as long as they are joined properly and have adequate diameter for the pump and distance.

What is the story with the neighbor's backyard?

Resod backyard? That is the most expensive way to grow grass if you want to save money. I've given up with sod, as it it never seems to endure after year one. Next time, try planting grass seed with water. If at a very hot time of year, expect to over seed in the fall. No biggie and remember to water if necessary.

Dishwasher leak....this is where the real problem is. What caused the leak? Was it installed incorrectly recently? See about installation warranty. Did the appliance itself leak, and if is so is there a warranty? When I had a plumbing leak, insurance did cover it but naturally raised rates for 4 years. (Still a very worthwhile claim for me)

Pipe leak below house...what happened? Is this a fresh water line or a sewer line? If water, is it well or city Is the pipe made out of polybutylene (dark gray or blue) by any chance? Consider contracting the excavation and plumbing separately to get better pricing from both.

Consider doing small jobs yourself or with local handymen to save money. For larger jobs, be sure to get multiple bids. Plumbing prices can vary widely, especially if subcontractors / excavators are involved.
aristotelian
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Re: Money Pit of a house

Post by aristotelian »

Welcome to home ownership. Doesn't sound like anything out of the ordinary. If those expenses bother you, you should go back to renting. Otherwise they are sunk costs so not a reason to move as long as the house is otherwise OK.
investnoob
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Re: Money Pit of a house

Post by investnoob »

From what I've seen amongst my friends, and the house I lived in for 15 years, this tends to happen in a 15-20 year cycle.

Appliances, roof, furnace/ac, wall paint, and kitchen and bathrooms all need updating.
On top of that, things happen. For me, I had a squirrel nesting in the roof, and my house was also hit by lightning.
There was also a flash flood in the basement through the window wells. The back of the house was next to a parking lot. And there was a flash thaw in february one year where all of the snow melted in a day and there was an ice jam near the sewer drain. It had no where else to go...

I guess all of this is to say...I feel your pain.

I think a lot of people tend to underestimate maintenance costs. And the industry around home ownership (realtors, brokers, banks) do a terrible job at explaining it.
asif408
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Re: Money Pit of a house

Post by asif408 »

We bought a brand new house 5 years ago for less than half of what you paid, of course we probably live in a much LCOL and more rural area. The difference between a new house and old house is like a new car and an old car, you should expect more maintenance issues with an older home, and if you're not semi-handy and live in an urban area expect to pay (our cars are 15 years old vs the house which is 5 years old, so speaking from experience). It does sound like you've had a somewhat out of the ordinary amount of bad luck, so it's unlikely to be quite so bad in years to come. The expenses tend to come in spurts, like stock market returns.

The thing that has always struck me about home prices is that they are overwhelmingly tied to the neighborhood the home is located in and homes nearby, and the price has very little to do with the condition/age of the house. When we looked at homes there were homes for 50% more than we paid for our new home that were older and in disrepair, but they were in a nice neighborhood and school zone, so the pricing reflected that. We chose to be in the minority and move to a more rural area and commute about 20 minutes, it allowed us to purchase a new home for 50% less with few maintenance issues to date. Certainly if I lived in a HCOL area with homes more than 10-15 years old I'd probably just rent. Otherwise you get into the situation you are in.

Too bad cars aren't priced the same way as houses. I'd just move into a neighborhood with nice cars. Then no matter the condition of my car it would instantly increase in value. My suggestion is just give it another year and see if it's as bad.
wetgear
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Re: Money Pit of a house

Post by wetgear »

This is mostly normal, maybe a bit front loaded in regards to timing (some of those won't need to be done again for many years if at all and it is better/cheaper to address early). It appears that some of your repairs were super affordable which is usually great but maybe a bit of a red flag. Always accepting the lowest bid can come back to haunt you if/when things need to be redone. All in all home ownership is rewarding if a bit bumpy, I wouldn't characterize your house as a money pit quite yet with those numbers.
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LadyGeek
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Re: Money Pit of a house

Post by LadyGeek »

This thread is now in the Personal Consumer Issues forum (how you spend your money and your time - money pit).
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Luckywon
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Re: Money Pit of a house

Post by Luckywon »

Has the increase in value of your home been greater than those costs? If so, perhaps that's some consolation.
carne_asada
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Re: Money Pit of a house

Post by carne_asada »

The first year or two is tough because you are tackling years of deferred maintenance and ignored problems. Every issue you fix is one less issue you need to sort out in the future - enjoy your new house and remember with home ownership it's always something...
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vitaflo
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Re: Money Pit of a house

Post by vitaflo »

My experience with homes it that when it rains it pours. We moved into our new construction house in 2011 and since then have had to replace the water heater and garage door spring and....that's it. Total cost over a decade of about $1,200. I feel incredibly lucky but I also know that eventually things will start to go, and when they do, they will most likely happen all at once.
niagara_guy
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Re: Money Pit of a house

Post by niagara_guy »

We've been in the same house for 30 years. Mortgage paid off about 15 years ago, so now just have to pay taxes, insurance and upkeep. I do all maintenance and updates with my son, and I help him with his house. The only professional that's been here is a sewer roto-rooter guy in the last 20 years. I estimate I spend about $1,000 on maintenance and updates per year, $1,500 for taxes and $1,000 for insurance, so about $3,500 total per year for my house. If I was to rent here (mcol) it would be more than $2,000 per month for my house. And, my house is worth 7x what we paid for it 30 years ago. Best investment I ever made.

You might have to learn how to do maintenance and updates yourself if you want to keep the costs down. Of course you could always sell and just rent for the rest of your lives. Home ownership is not for everyone.
dbr
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Re: Money Pit of a house

Post by dbr »

carne_asada wrote: Tue Oct 12, 2021 3:35 pm The first year or two is tough because you are tackling years of deferred maintenance and ignored problems. Every issue you fix is one less issue you need to sort out in the future - enjoy your new house and remember with home ownership it's always something...
In think that there is the essence of the frustration, that there was so much that was not kept up as well as it might have been. That problem with the columns sure sounds like that sort of thing, and the electrical problem.

But that also comes out in the selling price. A totally well maintained structure might have gotten a much higher selling price. In fact the current situation could have been a relative bargain. Would one pay $50k-$100k to buy a house that was more problem free for awhile. There tends to be a premium in the market for houses that are pristine.
THY4373
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Re: Money Pit of a house

Post by THY4373 »

In my experience owing for about 20 years (I rent currently) housing maintenance costs are often lumpy. Also a lot of the builder grade stuff in a house often gives out in the 15-25 year time horizon. I bought my last place around 18 years in, the prior folks had already dumped a fair amount in on repair (like new roof) and I had to put in to HVAC units over the next couple of years. But after we worked through the stuff that was worn out from the original builder things got better. Honestly your costs don't seem to out of line in my experience (bad luck on a few things aside).
Last edited by THY4373 on Tue Oct 12, 2021 4:18 pm, edited 1 time in total.
B3GINN3R
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Re: Money Pit of a house

Post by B3GINN3R »

I am currently renovating my newly purchased house and am also stressing about it. I think you are quite far from ultimate money pit land. Just to get this house livable I am going to end up puting in 20% of purchase price/about 120k (we knew it was a fixer upper

Not to be overly dramatic, but it may be worth it to bail and just find a condo if too stressful. We lived in a condo for a while and it was great. I am, however, enjoying making the house the way I want and plan on staying here for a good, long while, so when I do something, i get to think about how much my kids will enjoy.

Also, pregnancy def adds to all the stress esp during covid times.
Last edited by B3GINN3R on Tue Oct 12, 2021 4:19 pm, edited 1 time in total.
getthatmarshmallow
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Re: Money Pit of a house

Post by getthatmarshmallow »

It sounds like you've had a string of bad luck but it is also true that often the first three years of home ownership require a lot of extra maintenance. Budget about 2%-5% per year and you're not far off from that (especially as the column work is hopefully a one-off deal.) Sympathies though -- I hate water issues with a passion and pregnancy turns up all irritations to eleven.

I wouldn't bail on the house yet but I might plan out what work is likely to be needed in the next few years. It's often cheaper to catch problems before they become urgent.
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Cheez-It Guy
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Re: Money Pit of a house

Post by Cheez-It Guy »

Where can I get a $75 water heater?
stoptothink
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Re: Money Pit of a house

Post by stoptothink »

Cheez-It Guy wrote: Tue Oct 12, 2021 4:24 pm Where can I get a $75 water heater?
Mine was almost $1750 on the nose last year; so, typo? This is the reality of home ownership, maintenance is lumpy and can cause sticker shock. We own a relatively new (built '13) small (town)home (~1500 sq. ft) and these costs sound pretty normal.
squirm
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Re: Money Pit of a house

Post by squirm »

Those costs aren't that big. Doesn't sound like anything like a money pit. I used to remodel homes, I could tell you about real money pits.
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cchrissyy
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Re: Money Pit of a house

Post by cchrissyy »

Sounds normal except I'm curious what the line means about the columns?
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dbr
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Re: Money Pit of a house

Post by dbr »

cchrissyy wrote: Tue Oct 12, 2021 4:41 pm Sounds normal except I'm curious what the line means about the columns?
I have seen examples of porch roof support columns that have to be replaced due to rot or perhaps disintegration of footings. Seems like an odd failure on a house built in 2003. It's not unheard of in my older neighborhood.
WS1
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Re: Money Pit of a house

Post by WS1 »

At least now you have a list a things you don’t need to wonder about.
BogleHead1008
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Re: Money Pit of a house

Post by BogleHead1008 »

We replaced all 24 windows as they started leaking (bad windows by builders) and spent 26K, then replaced carpets for another 14K and that is just this year.

Redid the floors when we moved in and some of the kitchen ,that costed 28K.

Money pit is sometimes an understatement. But considering how the rents are priced, I would put money in this pit.
Jayhawker
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Re: Money Pit of a house

Post by Jayhawker »

This is a pretty sobering thread to read through as someone currently renting. I had gotten the picture from Bogleheads that the "classic" 1% of house value rule was an underestimate but the responses here *surprised* me with how *unsurprised* they were. OP has spent 3.4% of house value in year one with 2.8% more estimated to kick off year two. I definitely learned something here. Is 4% per year for the first three years to catch up on deferred maintenance and 2% per year thereafter a more reasonable 75th percentile maintenance estimate for a 20-ish year old home?
dbr
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Re: Money Pit of a house

Post by dbr »

Jayhawker wrote: Tue Oct 12, 2021 4:46 pm This is a pretty sobering thread to read through as someone currently renting. I had gotten the picture from Bogleheads that the "classic" 1% of house value rule was an underestimate but the responses here *surprised* me with how *unsurprised* they were. OP has spent 3.4% of house value in year one with 2.8% more estimated to kick off year two. I definitely learned something here. Is 4% per year for the first three years to catch up on deferred maintenance and 2% per year thereafter a more reasonable 75th percentile maintenance estimate for a 20-ish year old home?
I suspect this house was not in as good repair as it might have been, which also implies it was priced accordingly. This is a kind of bargain one makes when one decides on which house to buy.

I am one of those not surprised, but then we are at the far end of forty years of owning a house built in 1914 and purchased at a bargain with lots of work to be done. The larger part of this work has been done by me, so can be assigned to sweat equity. But the trick is to identify good underlying value.
LittleMaggieMae
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Re: Money Pit of a house

Post by LittleMaggieMae »

It sounds like you are a first time house owner and perhaps did not participate in house maintenance/upkeep chores if you grew up in a house.

These are "house maintenance" - it's the never ending "entropy" that happens to all things in this world.
Stuff gets old, wears out, or fails.
1) Broken /Replaced Water Heater Fall 2020 $75 *
2) Broken/Replaced Garbage Disposal Fall 2020 $75 *
3) Broken/Replaced Refrigerator Ice Dispenser Fall 2020 $75 *
4) Fixed Drain in upstairs bathroom Winter 2020 $200
5) Fixed Faulty electrical work in Basement/Garage/outside
*lost entire freezer full of breast milk Winter 2021 $500


This one sounds like an issue with the construction of the house (or perhaps that something that had a limited life time - got to the end of it's life time.)
6) Fixed Outdoor columns Spring 2021 $12,700

These are "Acts of Nature" and are things that happen and are part of home ownership.
7) Lightning strike---broken electronics Spring 2021 $1,100
8) Woodpecker damage/pest spray Spring 2021 $600




These are "house maintenance" - it's the never ending "entropy" that happens to all things in this world.
Stuff gets old, wears out, or fails. I'm hoping the cost of some fans and dehumidifiers is a typo.

9) Leaking sump pump line in backyard
• Two different tubing sizes used, replace ? $500
• Sump pump drain in neighbors yard, retrench ? $1,500
• Resod backyard ? $1,000
10) Dishwasher leak
• Two different tubing sizes used, replaced $20
• Fans and dehumidifiers prevent mold $1,200


I'm guessing this is because of the dishwasher leak - the expense just comes with homeownership.
• Replace cabinets, possible floor ? 2,000

This one sounds like an issue with the construction of the house. These kinds of expenses are necessary evils - they help ensure your house retains it's value. :(
11) Pike Leak beneath House
• Diagnosis by Reliable Leak Detection $500
• Reroute pipe ? $8,000-$10,000

You don't have a money pit. You have a 500K house that've you had to do 12K in "column" fixing and possibly 10K in "pipe leak under the house" repairs. The rest of the stuff is just "house" stuff that most homeowners have to deal with.

I think you are doing pretty good... if the house has all the qualities you need a house to have... those two big expenses will serve you well over the remaining time you own the house (30 or 40 years). I'm guessing you'll get another new water heater, new appliances, and handle an assortment of "drain leaks, overflowing sinks (due to children) damage, plugged toilets, and the list goes on and on" over the next 30 to 40 years of home ownership. (when you think about it - it's not so hard to predict the future. :) )
cbs2002
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Re: Money Pit of a house

Post by cbs2002 »

investnoob wrote: Tue Oct 12, 2021 3:24 pm From what I've seen amongst my friends, and the house I lived in for 15 years, this tends to happen in a 15-20 year cycle.
Ha! During life under 'rona, I've replaced the water heater, washing machine, dishwasher, and refrigerator - each fixed previously by me at relatively low cost, and each breaking in the last 18 months in ways that I decided are not worth repairing. The place was rehabbed in 2004. I guess I'm on the normal timeline.
dbr
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Re: Money Pit of a house

Post by dbr »

I was going to add that our second child was born the month we moved into the house. We were fortunate to not have so many things happen all at once, though. But the wisdom is that these things shall pass, at least for awhile.
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MikeWillRetire
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Re: Money Pit of a house

Post by MikeWillRetire »

Your math looks off. The total is around $30,000.
The $12,000 for columns and $8000 for some new pipe are the outliers. The $1000 for re-sodding seems excessive. $1200 for fans and de-humidifers seems high. And counting the lost breast milk as a house expense is odd, but whatever.
Other than that, it looks ok to me.
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Nate79
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Re: Money Pit of a house

Post by Nate79 »

First time home owner?
rockstar
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Re: Money Pit of a house

Post by rockstar »

The first couple are pretty common. Garbage disposals break. I recently replaced mine. Ice makers in fridges often break. I've had to repair all of these. Stuff wears out and breaks.

Then, you get the ones due to poor building quality. These get expensive fast and accumulate. If you have nasty weather, they end up costing a lot more. And you get stuff due to poor building practices changing over time like pipes running into your home. I know someone that had their "pipes" burst and flood their home. The material is no longer used, but it was throughout her whole home and slowly rotted due to age.

Finally, you get stuff that's region specific. I cringed every time I bought pine straw when I lived in the south. What a waste of money.

Sometimes I miss being a renter.
Last edited by rockstar on Tue Oct 12, 2021 6:56 pm, edited 1 time in total.
Goal33
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Re: Money Pit of a house

Post by Goal33 »

Sucks but that's life. Stay long enough and you'll be making the same repair twice.
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bligh
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Re: Money Pit of a house

Post by bligh »

CtScrtDsse wrote: Tue Oct 12, 2021 2:30 pm About a year ago, my spouse in I bought a house in which we thought we wanted to raise our family in. We just got out of student loan debt last year, and put a down payment on our $501,000 house last July built in 2003. 14 months later it has been the ultimate money pit. We've already had to put $17,000 out of pocket into it but now there are some additional major plumbing issues (another conservatives estimate of $13,000-$15,000).
Yup houses are expensive. Makes you miss renting doesn't it? :)

Misery loves company, so I too was a lifelong renter and decided who made the jump to homeownership to bring some predictability to my housing costs in the long run. I am still working through my long list of items and already over 25K in at this point. Fortunately I was able to tackle the expenses that came my way because I bought a place that was well below my original budget. I still see another $10K that will need to go into the house over the next 3 months or so.

However you are building equity every month, most likely your house is appreciating in value, and home ownership is (at the moment) paying off better than renting.

What you are experiencing is normal based on my experience and the people I talk to.
gonefishing01
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Re: Money Pit of a house

Post by gonefishing01 »

Sounds like typical 15-20 year old house problems to me. You got off easy if this is everything that’s wrong with it. I know it doesn’t mean much if you aren’t planning to sell, but hopefully the value has appreciated like crazy lately to help compensate. :D
criticalmass
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Re: Money Pit of a house

Post by criticalmass »

Cheez-It Guy wrote: Tue Oct 12, 2021 4:24 pm Where can I get a $75 water heater?
Maybe it was a warranty deductible?

Anode rods cost about $20 and replacing every few years can keep a water tank in good condition indefinitely. Together with draining sediment and keeping the burner clean (or replacing bad elements ($20), a water heater can last decades with no issues. But for some reason, many prefer to spend $900-2000 to replace every 5-12 years….
Wannaretireearly
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Re: Money Pit of a house

Post by Wannaretireearly »

I don't even want to add up all the $$ spent on my house last 17 years. Now it's 'our' house, we know all its characteristics and have tried to address all pain points. Including stuff like overhanging trees!

Hang in there OP, if you like your area, make it your house. Long term, 10+ years these maintenence items pay off. Also, go big or go home with renos. Do it once, big, if you need a reno. If you don't like your area....get out quick.
Death and taxes. Only one is under your control!
av111
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Re: Money Pit of a house

Post by av111 »

Here is a link to the problem in columns that cost 12k

viewtopic.php?f=2&t=354679&p=6145868#p6145868

Except that, other problems are just wear and tear and deferred maintenance that you catch up on when you buy a house

You have home warranty ($75 copay). Use it to get as much as possible fixed
AV111
anoop
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Re: Money Pit of a house

Post by anoop »

House maintenance is an absolute pain.

I bought a new house and yet I have had to spend a ton keeping it clean and maintained. The first year, I had at least 20 defects to be fixed. In the 6 years, I've replaced the dishwasher and the whole house fan (under warranty). The washing machine had a 5 year warranty and I've had 2 calls for it in that time (one of them caused a leak). I've had several plumbing calls (I want to say 5 or 6) to replace shower/faucet controls (that were causing leaks) and to unclog slow/blocked drains. For me, more than money, I loathe the time I have to spend on dealing with repair folk. I don't have tools, I'm not handy, and at this point, I don't even have the type of health that would be need for serious maintenance. The maintenance I do on my own stops at replacing bulbs and air filters.

It'll all be OK as long as the house appreciates. In my case, it's gone up almost 50% in the 6 years I have owned it.
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cchrissyy
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Re: Money Pit of a house

Post by cchrissyy »

av111 wrote: Tue Oct 12, 2021 9:09 pm Here is a link to the problem in columns that cost 12k

viewtopic.php?f=2&t=354679&p=6145868#p6145868

Except that, other problems are just wear and tear and deferred maintenance that you catch up on when you buy a house

You have home warranty ($75 copay). Use it to get as much as possible fixed
Yikes, thanks for the link explaining the columns. OP, I think you're very lucky that it only cost that much to solve a major structural threat at the visible front of your house!

When I hear "money pit" I think 6 figures and never ending headaches. Real horror stories.

I agree with the people who say dishwashers and sump pumps and water heaters don't last forever. It's normal they could work fine for the last guy and suddenly stop working for you. Use that warranty if you can. Replace everything as needed and as years go by, eventually everything will be something you selected. It will work out!
comfortable being all stock until age 40, now working towards 60-20-20 us-intl-bond
vested1
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Re: Money Pit of a house

Post by vested1 »

I've found that most of our more costly repairs have been the result of the previous owner taking short cuts or not doing the required maintenance. Also, the bigger the house, the more there is to maintain. I'm meticulous about maintenance and it's paid off when it comes time to sell. Prospective buyers appreciate that and will flock to your listing. My advice, keep good records to prove what you've done.

As for assuming there will ever be an end to it, forget about it. Things break.
Kagord
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Re: Money Pit of a house

Post by Kagord »

The painful ones for me, and these are just normal costs over the life span, I suspect more so in humid/cold climates, if you are in that type of location (south/north).

Windows (20-40 years)
Siding (30-40 years)
Roof (20-30 years)
HVAC (12-15 years)

I budget 12K/year for the big hitter home costs. Some years, maybe a decade even, go by with no major cost on a given property, but then as others have said, "when it rains, it pours". IMHO, OP is in this range, 2 years, $24K, it's just the shock of something new (new home owner), and the dampening of prior expectations of how things will be (a common theme on BH forums and the shocks people have from new learnings and posting about it, be it financial or personal consumer).

On 10 and 11, insurance usually pays for the damages caused by "sudden" leaks. Get multiple plumbing quotes, I own rental properties, and my own home/vacation home and have had quite a few plumbing disasters. Plumbers tend to want to replace everything based on one failure point, playing on your emotions from the failure, especially waste line failures. I find one to just do the repair. I've had good luck with this over the decades without subsequent failures that were "going to happen soon as per some of the plumbers". Not to say it's applicable in your case, but get a few other opinions.

The other advice I have, if you want to reduce expenditures, is to learn DIY skills and try to keep what you have in good maintenance.
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