So You Can’t Afford a House, Eh?

So, everyone says they want a house, but they can’t afford one. Various explanations for this unaffordability are proffered. Interest rates are higher than they were for a short period a few years ago. That isn’t helping, although anyone who lived through the 1980s would snicker at you if you mentioned it. Wages haven’t kept up with inflation very well. But in general, what I hear, no matter what is being said about the topic, is that everyone thinks they should be able to live exactly where they prefer, and the houses should be cheap there. Uh-huh.

Good luck with that. I’d like to roll a different ball out onto the field. If you’re modestly intrepid, you can find a house for a relative pittance and live in it while you fix it. Then sell it, take the dough, and live where you want, or maybe do it more than once if you’re young and nimble. I’m living proof that it can be done. All you have to do is adjust your way of thinking about owning a home.

Everyone from realtors to talking heads on teevee refer to a home as “an investment.” It isn’t, at least in the way they’re blabbing about a roof over your head. A home is an expense. It may or may not be worth the money you spend on it, but it’s not an investment. For the most part, all the money you’ll gain if your house rises in value is just inflation rearing its actuarial head. Money is worth less, so the house eventually sells for more. You’re going to have to have an amazing nose for real estate to find a place where property goes from worthless to expensive without relying on inflation. You could have bought some bombed out property in many places in New York City back in the early 80s, and made a killing on it later. However, you’d also have to avoid someone making a killing on you in the interim, in a more direct way.

So, you’ll get no advice to buy rock-bottom real estate in murder capitals from me. But you can still find interesting and potentially valuable houses out in the sticks. And you can turn them into real investments, if you turn them into a part time job for yourself. I did it recently, and made a 900-percent profit on the deal. Tax-free, too, because as long as you live in it for at least two years before you sell it, you can make $250,000 before capital gains taxes kick in. Or $500,000, if you’re married, which I highly recommend. One of you can make peanut butter sandwiches while the other holds up the kitchen floor with a post jammed under the floor beams.

How about an example, Sippican? Sure thing.

Here’s a little number in Sangerville, Maine, that you can pick up for around $50,000:

Someone already thought they could make a killing with no effort on this place. They bought it four years ago for fifty grand, never touched it, and the town took it away from them this year because the house was unlocked and unattended, and they never paid their taxes on it.

It’s a 2,500 square foot, 5-bedroom, 2-bath Shingle Style wonder. Big old barn, too,

It needs some serious work, but so what? The more work it needs, the more money it will bring when you’re done. Unlike a lot of houses this age, the entire fabric of the place hasn’t been defaced with vinyl siding and gray plastic floors. Viz:

Sand the floor, replace the wallpaper, and put a fresh coat of clear on the wood work and you’ll be dining in style in no time.

The kitchen and baths won’t make it into Architectural Digest or anything, but so what? I’ve seen people ripping out ten-year old kitchens because they watched Better Homes Than Yours on teevee and noticed that everyone had quartz countertops instead of granite. Might as well plan on replacing everything in there. But I’ll bet those appliances still work. You can use them while you’re banging on the place.

Everyone is looking at this sort of project with the wrong idea. House flippers would love to wreck this place in their inimitable gray everything style, but the numbers won’t work. Not many people want to move to Sangerville, Maine from places where the trolleys run. It’s a tiny town in unfashionable Piscataquis County. You’ll have to be your own first customer. Buy it from yourself, as it were. When you’re done working on it, you can sell it to someone else in Sangerville whose house is still a mess, and doesn’t want to put in the work. Banks will lend them the money to give you a big return on your sweat and purple thumbs.

The smartest way to look at a house like this is to add up what it would cost to produce the same mess you see in the pictures. You’d have to find a 3/4 acre lot, then get town water and town sewer and electrical service to the place, and basically build a half-million dollar, partially completed structure to get the same value. Taxes? A hundred bucks a month. Crime? Well, there really isn’t any anywhere in Maine. If you’re willing to live in any city in the US, this place should hold no terrors for you.

There’s nothing to do in Sangerville. On Yelp!, the first two things to do and see are a farm stand, and sled dog excursions. The town’s only claim to fame is that the man who invented the machine gun once lived there. But then again, why would you need something to do in Sangerfield? Your house will be the biggest something to do in Sangerfield. If you need a hobby, you can stop trying to fix the wallpaper in the living room and fix the floor in this room for a change of pace:

So, you want a house.  Sangerville is over there. It’s only a matter of going.

Related: So You Can’t Afford a House, Part Deux

Great Moments in Maine Real Estate: Our House

Well, we sold our house, and we’ve been very, very busy doing it. We haven’t been living on reds, Vitamin C and cocaine. More like coffee, quercetin and saltines. But still, what a long, strange trip it’s been.

Here’s the listing for it on Zillow: It’s got lots of pictures for the insatiably curious.

We lived there a long time. For fifteen years or so I’ve been banging on the thing the way Mike Tyson used to bang on undercard palookas who graduated too soon. You know, before Iron Mike hit retirement age. I’m older now, and can’t bang like I used to either. Luckily, I can’t bang on the house anymore anyway. I don’t own it.

It didn’t look much like it does in the SOLD listing when we bought it. Here’s the front facade on the day we went to look at it in order to calculate our poverty/opportunity/lack of judgment quotient.

I’m a bad photographer. But not that bad. My hands were shaking so hard from the cold I couldn’t hold the camera still. Here’s the way the back of the house looked while we conned ourselves into thinking we could fix the place without calling in an airstrike, after a call to an insurance agent, of course:

My wife is quite sensible, except for that unfortunate incident years back that ended in I do. My personal POLoJ quotient has always been heavily weighted towards the LoJ portion of the dial. But even by my standards, we really pegged the needle on this one. For instance, we needed to lift the entire back of the house between 6 and 8 inches, and slip a foundation under it, because the old foundation had lifted its masonry skirts years ago, yelled eek!, and ran off into the night. I testify to you that it’s not possible to lift a house and live in it, too. But we did it somehow. I stand by my assessment that it’s impossible, though. I’m stubborn, you see. Sometimes it helps. At any rate, it turned out all right:

Of course in its original state, it was loaded with charm. No house is complete without some sort of plunge to your death feature. Millions of homeowners are currently ripping out the balustrades and handrails on their staircases to achieve the totally open plan that a raccoon-eyed harridan on cable teevee demands, but we don’t settle for modest dangers like that. Look for a home with a side yard like this, and you’ll be cutting edge:

Truly, that’s a very short stairway to heaven if you’ve been a good boy, or other accommodations if you’re like me. This house had lots of fun stuff like that. When we moved here, the kids were still young, and we still liked them. With the kind of parental piety that is in short supply these days, we cautioned them to stay out of the yard, and play in the middle of the street where they’d be safe. We did fix it, eventually. By then the kids were taller than their mom and talked in a Barry White baritone and played Halo online, like God and nature and Bill Gates intended.

We did a little work on the interior, too. For instance, I’m informed that murder houses are a “thing” now, and people fall all over each other to get their hands on houses that smell of lime in the basement and get featured on cable teevee shows. They all missed an opportunity at our house. I don’t think anyone was ever murdered in our house, but only because both the murderers and the victims were too afraid to linger in a house with a bathroom like this one. Viz:

We gave it some spit and polish:

If you haven’t sold your house recently, it’s interesting to note that you’re not supposed to have anything to do with any prospective buyers. I’m not sure if the real estate agents don’t want them to talk to you, or you to talk to them. I think they’re either afraid you’ll lie to a buyer, or forget to lie. One or the other. So you have to beat it when anyone comes to see it, while they ask the realtor all sorts of questions about the house they have no idea how to answer. You get feedback from the agent about what was said, which you can take with a cylinder of Morton’s Salt. Our favorite was the buyers who wandered around our house for a good long while, and then asked, “Is this house staged?” The realtor replied, “No, I think they actually live this way.” Yes. Yes we do. Or did, I mean.

So, we’re homeless now. I’m out of practice with sleeping rough. Except for, you know, the inside of my old house for about ten years. I’m finding it plenty difficult to locate park benches that aren’t currently occupied, and it’s near impossible to find a good newspaper printed on real paper any more. As the bums in Boston used to say, ” I like the Sunday Globe. You know, for the coverage.”

[Many thanks to Steve, and another anonymous donor, for their generous hit on our Ko-Fi tip jar. It’s greatly appreciated!]

Hey, Anyone Want To Go Halfsies On a Whole Town in Maine?

Alright, I’ll come clean. It’s not the whole town. It is, however, 40 acres with 21 buildings on it in Pittston, Maine. You can buy the whole thing for 5.5 million bucks. Come on, let’s do it!

Alright. Now you come clean. You figure this is another of my crack-brained schemes to buy property with impromtu skylights in the roof, and wild animals roosting inside. I’ll admit that’s my usual M.O., but not this time. Every single one of those buildings looks immaculate. Viz:

This isn’t a Potemkin village, either, with a bunch of false fronts with a trailer park behind it. The interiors are  sweet:

Even the minor buildings are perfect.

This is like being offered Colonial Williamsburg or Mount Vernon or something. And it’s not located in to hell and gone Maine, either. It’s just outside Gardiner, and an easy commute to the sweet little burgh of Hallowell and the state capitol, Ogguster.

Plenty of parking for your Chevy or your Clydesdale, depending on how you roll:

The local church is handy. You know, if you’re a Congregationalist. You’ll own the church, which is a good way to avoid having the minister preaching against anything in your particular stock portfolio. I think all the damn dirty Papists will have to commute to nearby Augusta, to pray for that brown patch in the lawn to be healed.

So the whole shebang is for sale for about the cost of two of those monstrosities we’ve been mocking recently.

America has become a place where people know the price of everything and the value of nothing. This place is Exhibit A, your honor. It’s been on the market for years, with no takers. It’s amazing, and no one wants it.

Oh, by the way. One more thing. About my offer to go halfsies in the title. While it’s true enough, in the interest of full disclosure, I feel I should specify that your half of the bargain is to bring 5.5 million dollars. My half of the proceedings is to meet you half way to Pittston and pick up the dough.

See 83 pictures of Tut Hill in Pittston here.

[Thanks for reading and commenting, buying my books, recommending this site to your interfriends, and hitting the tip jar. It is greatly appreciated]

Incrementally Diminished

Regular reader and commenter and interfriend Gringo has apparently pointed out our little hovel project over at the Chicago Boyz website. I’m always grateful for this sort of attention. I’m not sure I’ve ever seen Chicago Boyz before, but I recognize the names of some of the contributors. The title of the post in question is The Most Wrecked House on the Market, and to my semi-delight, the house in question is in Frankfort, Maine. I’ve been in Frankfort, Maine at least once, and I’m quite familiar with the larger burghs that surround it. I’m familiar with the General Grant style of the house in question, too. So the author has my nose, as they say.

Now is generally the juncture in the proceedings where I disagree, of course. I’ll try to avoid becoming unintentionally disagreeable. I am a serial failure at that, but we do try. The most wrecked house on the market? I think not. Actually, I know not.  Not even in Maine.

It’s vanishingly easy to find much worse than that in Maine, and in much less desirable locations than Frankfort. Viz:

Of course, if you need more examples of arson-ready domiciles, you can always refer to Great Moments in Maine Real Estate.

Now let’s take a look at what they think is “The Most Wrecked House on the Market“:

Hmm. I said, let’s look at it. Bah, there’s a tree in the way. Let’s try again:

Well, now we’re getting somewhere. The tree is clearly a maple. Probably a sugar maple, but it’s hard to tell.  Dadgum it, fortune favors the bold and ill-informed, so I’m going to stick my neck out and say it’s an acer sacchurum. There may or may not be a house behind it.

No, I mean it this time. Let’s look at it:

For crying out loud, where is that door? Why is it pictured in a vertical letterbox? Are you trying to sell this house, or aren’t you?

Well, you see, you can’t really tell anything, because realtors refuse to do their jobs. Their only job is to convey information, and open the door if it’s locked. It doesn’t  matter if they can or can’t do these things, they won’t, so there’s no difference, really. There maybe one useful photograph of the exterior, and none of the interior. Hell, I’m pretty sure the only picture of the front of the house is taken without getting out of the car.

Never mind, I’ll do a driveby and we’ll see what we can see:

Now we’re getting somewhere. According to my new best friends at Chicago Boyz, this house needs nothing short of gasoline and a match. I’m not qualified to argue about arson with people associated with Chicago in any way, but I don’t see any cows or lanterns in the yard, just an old Sunfish sailboat. I’ll cut the author some slack. Both she and I are laboring under imperfect information. That’s the primary tool in the real estate agent’s toolbox, so we’re cooperating nicely by drawing conclusions without knowing much of anything. But the author says her daughter is an agent, and she says houses like this one aren’t worth saving. In internet yelling, that’s called an appeal to authority. It’s also like waving a red flag at a bull to say it within my earshot.

I’m trying to avoid snark, because we’re talking about relatives here. But in my experience, which is voluminous, real estate agents are the least competent person to offer input on the renovation of a house. Any house. They have no idea what things cost, how to go about fixing them, or what is dangerous as opposed to plain icky. They don’t know a cape from a split level. In Maine, their advice usually consists of informing you that can install ceiling fans in every room, paint every room gray, and vinyl side the place. If that won’t do the trick to double your money, you can always knock the place down and put a double-wide on the lot.

Let’s go around the side:

There’s a junk removal sign by the stop sign. There’s one problem solved. The authoress has made an assumption that the interior must be a total wreck because the realtor refused to enter it. That assumes facts not in evidence, your honor. Your typical realtor thinks they’re participating in a very, very unfashionable fashion show at all times, and they don’t draw any distinctions between icky and dangerous. They’re wearing open toed shoes and won’t go inside.

So I’m a pro. What can I tell from looking at the Google Maps images and the listing?

1. The house is architecturally interesting and significant. It’s worth saving for its own self.

2. Previous owners listened to a realtor, and put a big addition on the back, even though the main house is probably 3,000 ft2. As is usual, they thought construction was like going mall shopping for cute tops, and ran out of money before they finished. The addition has a solid roof, however, and modern windows and doors. It also has stainless steel chimneys galore, for wood burning appliances. There’s nothing much visibly wrong with it, except it’s a dumb idea.

3. The eaves are quite rotten. The authoress assumes that means it’s been raining indoors for decades. Not so fast. It’s a General Grant house. The eaves project from the sidewall of the house. They need beaucoup work, but it’s not raining indoors from the eaves.

4. The (granite) foundation is OK, at least as far as I can see. The sidewalls are perfectly flat and don’t sag anywhere. This is a big, big plus.

5. The glass is still in the windows. That’s a good sign. It’s probably not full of vandalism and raccoons.

6. The front porch is in great shape, which is miraculous. Even the balustrade is complete and restorable.

7. There’s very little paint left on the siding. It makes it easier to repaint. And there is no evidence of water getting in the sidewalls. The paint weathered away, it didn’t jump off because of water leaks.

8. The original wood sashes are there. They have a curved top, which is kinda wonderful. All the trim around all the windows (but one) is in really good shape.

9. It’s only $79,000. I’ll bet you they’d jump at a lot less than that, too. The house probably has a well and private septic. A lot of land nearby with those would probably cost way more than that.

10. Bangor, which is a plenty big metrop to find a job in, is only 30 minutes north of this place. Bucksport, which is lovely, is a few minutes away. Belfast, which is in the running for the prettiest town on the eastern seaboard, is twenty minutes south, hard by the Atlantic Ocean. My children performed at the Belfast Harbor Fest once. Taxes are low, and Frankfort is a nice place to live. Hardly anyone lives there to prove my point. I gather that everyone wants to step over bums, syringes, blood and shell casings, and human excrement to get to their crummy apartment building in a big city. You’ll have a hard time amusing yourself like that in Frankfort, Maine.

OK, so I’ll admit that Ray Charles could tell this house has been neglected. I say thank god for that. You see, that house can be restored because it’s been neglected. Neglect is the optimal situation. The former denizens no doubt exhausted their Home&Garden ceiling fan/slipper tub/gray floor urges on the crazy addition, and left the real house alone. Neglect is always preferable to active, flipper malice. I can fix neglect. As they say, I can’t fix stupid.

Let me give you an example. In 2022, someone bought a house down the street from this one for under a hundred grand. It looked like this:

There’s an iconic Maine house under the plastic carapace. It was an end-entry Greek Revival farmhouse that the realtor no doubt would call a “cape-style home.” It has a small version of the “Little House, Big House, Back House, Barn” that Mainers used to build to work the land. It was defaced with vinyl siding and plastic shutters and so forth, but the bones weren’t bad.

Well, they’re (trying to) flip it for $260,000 now. Here’s what you get:

The interior is a ridiculous incoherent gray mess, like someone ate a Home Depot and vomited it in the house.

So I can assure you that I could probably fix that pale yellow wreck of a place, and wish I could. And it would probably be worth a half a million when it was done. But I couldn’t fix the second house. How can you explain to a realtor that you’d have to rip out $160,000 of plastic crap and start over again? That is the house that’s not worth anything anymore, because it’s fixed. This is the house that should be bulldozed. But it won’t be, and the other one will, and the world will be incrementally diminished.

The Flip Side of the Maine Real Estate Coin

OK, now I’ve gone and done it. I’ve convinced the rest of the country, and a goodly portion of the world, that people in Maine live in either derelict shacks, or Garage Mahals, like the Camden Architectonic Apocalypse. Not so.

All in all, Maine is pretty nice. Its got a seaside, and mountains, and sylvan glades full of bullwinkles, and primeval forests full of wanderers in REI  gear, or carrying a chainsaw. It’s lively in the big cities, which aren’t big at all, and few and far between. It’s quiet out among the fleas, trees, and disease if you go west or north. Canadians have inherited a reputation for being polite and inoffensive, but it’s Mainers everyone is really thinking of. I’m not sure there are any Canadians left in Canada, and I’m cold enough already, so I’m not going to check. You could do worse than Maine, and you probably have.

So on today’s special edition of Great Moments in Maine Real Estate, we’re going to throttle back on the snide remarks, and show you what you could buy in Maine if you had way too much money, but more taste than our Camden compadres. You’re going to have to pony up an extra half-a-mil, but once you’re over two million, it’s a rounding error, really. You could move to Portland:

Portland’s not the capital of Maine. Ogguster is. Portland is the largest city, but it ain’t large, really. There are about 70,000 people milling around in it. In its general aspect, it’s a miniature Boston. It has a waterfront that is currently duking it out between fishing boats and condominiums. Condos always win, guys. It has a rabbit warren of streets nearby everyone calls the Old Port. It’s nothing but bars and restaurants and tchotchke stalls as far as the eye can see, at least if you have myopia. Lively.

It all pretty pleasant, but it has neighborhood called the West End, that most people covet for an address. This brick wonder is smack dab in the middle of it.

A lot of Portland is made of brick. The whole town burned down a couple of times, and people got tired of carrying water buckets around, and put up brick piles to save trouble. This house was built in 1868, “commissioned by Maine’s Governor Washburn.” That’s an inelegant turn of phrase, but real estate agents are veritable wizards at concatenating sentences that raise more questions than they answer. Commissioned? Did he build it but not live in it? Did he die before it was finished? Is it a spec house? (I doubt it). At any rate, Washburn was a founding member of the Republican Party, also according to the realtor. If you’re trying to sell a house in Portland, Maine, these days, I woulda skipped that. While the whole rest of the state is Alabama with snow, Portland Maine tries as hard as it can to be Portland, Oregon politically. Luckily, they’re bad at it, so the place is still quite liveable.

It’s a handsome looking place, innit? It’s got a better garage than the Frank Lloyd Wrong place in Camden, too. You could sell it for way more than the half-a-mil difference in price, and just between you and me, I’d rather live in this garage than that other house:

Of course I’m committing an architectural abomination by calling it a garage instead of a coach house, but time marches on and we must acknowledge it.

Unlike every other house for sale everywhere, the current owners of this house have avoided the siren song of modern farmhouse chic, left the place alone, and simply took care of it. It’s still nice in there, instead of a gray floor, gray wall, barn door, live-laugh-love featureless monstrosity.

Yeah, I could just about put up with this place:

These poor benighted souls put the Roman columns right-side up.

The kitchen is nothing special, thank God. It looks like normal people could cook food and clean up in there, which is more than you can say for the fussy quartz counter Home&Garden TV abattoirs you see nowadays. And the bedrooms just look like a pleasant place to sleep, instead of “spaces” you could have dirigible races in:

The en-suite master bath is posh. The guest bath isn’t too shabby either:

I’d rather live in the au pair suite on the top floor than the house in Camden. It’s pleasant. Pleasant is underrated these days:

So move to Spring Street in Portland. You won’t be my neighbor, which is a plus for you. You’ll have to bring money, but that’s true in places like Oakland CA, which looks like a war zone to me. Only dogs crap on the sidewalk in Portland, and their owners pick it, too. The property tax is only $2,500 a month (!). I’m sure the town will spend it wisely.

I suppose, unlike the realtor, I should be completely honest, and mention something about winter.

See all (54) the pictures here.

[Thanks for reading and commenting, buying my books, recommending this site to your interfriends, and hitting the tip jar. It is greatly appreciated]

Tag: great moments in real estate

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