Chapter 25 Section VII

"It's a renovated house," said the woman.In her late 60s, she has short gray hair, a long, sun-lined face and lots of turquoise jewellery.Her name was Edna Freed, and she was the owner of the real estate agency Decker had noticed the sign.This was the fourth property she had shown him. “This house has been on the market for over a year and it’s an auction. No one lives here. Taxes, insurance and repairs are a headache for the owners. They authorized me to say they’re willing to accept less than what they’re asking.” "How much are they asking for?" Decker said. "$635,000."

Decker raised an eyebrow. "Then you were not joking when you told me that real estate prices here are quite high." "And it's improving every year." Edna explained that what happened 20 years ago in Espen, Colorado, is now happening in Santa Fe.When wealthy people traveled to Espen, they fell in love with the picturesque mountain town and decided to buy real estate there.As a result, prices are driven up, and locals are forced to move to other cities where they can afford housing.Likewise, real estate prices in Santa Fe are getting higher by the day, largely driven by wealthy immigrants from New York, Texas, and California.

“A house I sold for 300,000 last year was listed again nine months later for 360,000,” Edna said.She wears a Stetson hat and wide-angle sunglasses. “As far as Santa Fe is concerned, it was a normal house, not even an adobe house. All the builders had done was fix the frame and put in new stucco.” "Then this is an adobe house?" "Of course." Edna led him out of her BMW and down a gravel path to a tall metal gate.The stucco walls on either side of the door are as high as the door.The door is carved with the silhouette of a prehistoric Indian petroglyph.Inside the gate is the yard and the gatehouse. "The house is surprisingly solid, you knock on the wall next to the front door."

Decker tapped.The impact on his knuckles made him feel as if he had hit a stone.He looked at the exterior of the house. "I saw some dry rot on the columns supporting the gatehouse." "You have good eyesight." “The yard is overgrown and the interior walls need a fresh coat of paint. These seem to suggest that what you call a renovated house is not what it is,” Decker said. “What is the real problem? Two acres of land, you told me that it belongs to the Museum District, surrounded by beautiful scenery, it is an ideal location. But why hasn't it been sold yet?" Edna hesitated. "Because it's not one big house, but two small houses that share a common wall."

"what?" "To get from one part of the house to another, you have to go outside and go through another door." "Who wants such inconvenient housing?" Edna couldn't answer. "Let me see the rest of the house." "You mean you might still be interested in the house, despite its layout?" "I'll have to check it first. Take me to the laundry room." Confused, Edna led him in. The laundry room was next to the garage, built in the basement of the house, with a small low door, and the space was very narrow.Decker dusted his clothes with satisfaction as he emerged from the inside. "The electrical system looks about 10 years old, the copper piping is a little newer, but it's all fine."

"You do have good eyesight," Edna said. "You know where to start." "There's no need to remodel the place if the infrastructure needs to be remodeled as well." "Remodeling?" Edna was even more puzzled now. "Look at the layout of the house. The garage is built between two connected houses, but we could potentially convert the garage into a room, create a corridor at the back of the room, and knock down part of the common wall to allow the corridor to pass through. To the house on the other side, so that the two houses are connected as one."

"Oh, I just..." Edna looked around the garage. "I never noticed that." Decker thought to himself.He hadn't planned to buy such an expensive house.He thought about the $300,000 he had in his savings, about the down payment and the mortgage, and whether he was going to be pauper with a house.At the same time, the possibility of making a profit on the investment fascinated him. "I bid 600,000." "Below asking price? For a house of this value?" "For this house I hear you call a renovation, or has my suggestion suddenly made it more attractive?"

"For the right buyer, yes." Edna looked him over carefully. "Why do I have a feeling that you have negotiated real estate business many times?" "I used to be a consultant for a multinational real estate consulting firm." Decker handed her the business card the CIA printed for him. "Raleigh-Hackman, headquartered in Alexandria, Virginia. It's not a multinational corporation like Sotheby's, but it runs a lot of special real estate businesses. My specific job is to find that real value is better than the surface. Real estate that looks much higher on the internet."

"Like this house," Edna said. Decker shrugged. "My problem is, I can only afford to pay $600,000 anyway." "I will make this clear to my client." "Please be sure to emphasize this point. According to the usual standard, the deposit should be 120,000. Based on the current 8% interest rate, the mortgage for the remaining balance of 30 years is..." "I've got to get in the car to get my interest book." "No need, I can figure it out." Decker scratched on the legal pad. "About $3,500 a month, a little over $42,000 a year."

"I've never seen anyone count so fast." Decker shrugged again. "There's another problem - if I can't find a job, I can't afford a house." "How about selling real estate?" Edna burst out laughing. "You've been trying to convince me to make a deal." "Maybe a little." "I like your style," Edna said with a smile. "If you can convince me to make a deal, you can convince anyone. You need a job, and now you have it. The question is, how can you afford to remodel?" What about the cost of the house?"

"It's easy, with cheap labor." "But where do you expect to find cheap labour?" Decker held out his hands. "Right here."