HOME SEARCH A COUPLE'S JOURNEY IN THE HOUSING MARKET NORTON -- THE ROAD TO BUYING A HOME CAN BE FILLED WITH POTHOLES, DETOURS AND BREAKDOWNS. OR IT CAN BE A SMOOTH JOURNEY, FREE OF HASSLES; ONE THAT ENDS QUICKLY IN A DREAM HOME, COMPLETE WITH PETUNIAS GROWING IN THE FRONT YARD. THE GLOBE RECENTLY ACCOMPANIED A MASSACHUSETTS COUPLE ON THEIR TREK THROUGH THE HOUSING MARKET. WE INTERVIEWED RICHARD W. MARCOTTE AND DONNA M. ROSS SEVERAL TIMES OVER THE PAST FEW MONTHS AS THEY SEARCHED FOR A HOME. THEY FOUND THAT LOOKING, BIDDING AND BUYING CAN BE NERVE-WRACKING AND STRESSFUL -- BUT ULTIMATELY REWARDING. HERE IS A DIARY OF THEIR EXPERIENCE. !G TUESDAY, SEPT. 11: MARCOTTE AND ROSS HAVE BEEN LOOKING SERIOUSLY FOR A HOME SINCE JUNE. THEY ALREADY HAVE MADE ONE BID FOR A HOUSE -- A BID THAT FAILED BECAUSE THE SELLER REJECTED THEIR OFFER AS TOO LOW. THEY HOPE THAT THEIR BID ON A SECOND HOUSE, WHICH THEY MADE LAST WEEK, SUCCEEDS. MARRIED IN MAY, THE COUPLE, BOTH 30, LIVE IN MANSFIELD. THEY HAVE BEEN SAVING TO BUY A HOME FOR A YEAR; THEIR FIRST STEP WAS TO PAY OFF ALL THEIR DEBTS, SAYS MARCOTTE. "NOT MY BILLS, YOUR BILLS," JOKES ROSS, WHO WORKS AS A PARALEGAL FOR CITIZENS BANK OF PROVIDENCE, AND WHO GREW UP IN PAWTUCKET, R.I. MARCOTTE, CALLED RICK BY HIS FRIENDS, IS ORIGINALLY FROM SHARON. HE HAS BEEN A SALESMAN FOR SIX YEARS, PEDDLING TRANSPLANT DRUGS FOR NEW JERSEY-BASED SANDOZ PHARMACEUTICALS CORP. HE WORKS OUT OF HIS HOME, BUT MAKES A LOT OF SALES CALLS IN BOSTON, WORCESTER AND PROVIDENCE. MARCOTTE SAYS THAT THEIR SAVINGS EFFORT WAS HELPED BY HIS HAVING A 401(K) PLAN AT WORK: "WE'LL PROBABLY BORROW OFF THAT SAVINGS PLAN FOR HALF OF OUR DOWN PAYMENT." A 401(K) IS A TAX-DEFERRED RETIREMENT PLAN; UNDER THE PLAN, HALF HIS SAVINGS CAN BE BORROWED TO FINANCE A HOME PURCHASE. THEY ESTIMATE THAT THEY HAVE LOOKED AT 30 TO 40 HOUSES, MOSTLY IN WRENTHAM, MANSFIELD AND NORTON. THEY STARTED LOOKING AT HOUSES IN THE $120,000-$130,000 RANGE, BUT GRADUALLY HAVE WORKED THEIR WAY UP TO HOUSES PRICED AT $159,000. SINCE MARCOTTE COMMUTES SOME DAYS TO BOSTON, THEY WANTED SOMETHING THAT WAS ABOUT HALFWAY BETWEEN PROVIDENCE AND BOSTON GEOGRAPHICALLY, AND THAT FIT THEIR POCKETBOOK. THEIR ESTIMATED COMBINED SALARIES IS ABOUT $70,000. MARCOTTE HAS A STRATEGY: OFFER 15 PERCENT BELOW THE LISTING PRICE, "SINCE EVERYTHING IS LISTED HIGH." THAT STRATEGY, NATURALLY, HASN'T GONE OVER BIG WITH BROKERS. "THEY SAID, 'DON'T INSULT SELLERS WITH LOW BIDS,' " SAYS ROSS. "WE SAID, 'WE'LL INSULT ANYBODY' " TO GET A GOOD DEAL. THEY KNOW WHAT THEY WANT -- A COLONIAL, VICTORIAN OR CAPE ON A QUIET STREET -- AS WELL AS WHAT THEY DON'T WANT: NO SPLIT-LEVELS OR RANCHES. IN THEIR FIRST FAILED BID, THEY OFFERED $132,000 FOR A HOUSE IN MANSFIELD LISTED FOR SALE AT $147,900. THE OWNER WOULDN'T BUDGE BELOW $145,000, AND EVENTUALLY TOOK IT OFF THE MARKET. NOW THEY HAVE FOUND A COLONIAL PRICED AT $159,000 IN NORTON THAT THEY LIKE. THEY HAVE BID $138,000, AND HAVE EXTENDED THEIR OFFER AN EXTRA WEEK BECAUSE THE CONTRACTOR WHO OWNS IT SAYS HE NEEDS MORE TIME TO CONSIDER THEIR OFFER. THEY MADE A $500 DEPOSIT WHEN THEY MADE THE OFFER. THE HOUSE HAS SEVEN ROOMS, INCLUDING TWO BEDROOMS AND A STUDY, TWO FULL BATHS, AND IS ON A HALF-ACRE. A PORCH WRAPS AROUND TWO SIDES. INSIDE, IT WILL BE NEW FROM TOP TO BOTTOM BY THE TIME THE CONTRACTOR FINISHES RENOVATIONS. "TIME IS ON OUR SIDE," SAYS MARCOTTE. "MAYBE HE'LL BE MOTIVATED TO WRAP THE DEAL UP. IT'S BEEN ON THE MARKET SINCE APRIL." !G WEDNESDAY, SEPT. 26: TIME DOES WORK FOR THE COUPLE. THEY AND THE CONTRACTOR, WILLIAM M. BRANDON OF TAUNTON, HAVE AGREED ON A PRICE OF $145,000. THEY HAD ARRANGED TO SIGN A PURCHASE-AND-SALE AGREEMENT TOMORROW, BUT THERE HAVE BEEN SNAGS. "WE HAD A HOUSE INSPECTION AND THERE ARE MAJOR PROBLEMS," SAYS ROSS. "IT LOOKS LIKES SOMEONE BACKED INTO THE FOUNDATION WITH MAJOR EQUIPMENT. THERE'S A LOT OF DAMAGE." THE HOUSE NEEDS A CARPET; BRANDON AGREES TO PUT ONE IN, BUT ROSS DOESN'T LIKE THE MATERIAL. "IT'S CHEAP," SHE SAYS. THE NEGOTIATING DRAGS ON. "I DON'T LIKE IT," SAYS ROSS, SOME STRESS IN HER VOICE. "WE'RE STILL HOPING TO CLOSE BY THE END OF OCTOBER, BUT I DON'T KNOW." THEY WANT TO WAIT ON THE P&S. !G FRIDAY, SEPT. 28: THE COUPLE SIGNS A P&S THAT HAS TWO PAGES OF CONTINGENCIES. BRANDON AGREES TO FIX THE FOUNDATION AND A SLEW OF SMALLER THINGS, SUCH AS LOOSE FLASHING ON THE ROOF. THE COUPLE AGREES TO CONTRIBUTE $200 TO THE PURCHASE OF THE CARPET. THEY MAKE A DEPOSIT OF $3,250, AND PLAN TO GET A MORTGAGE OF $134,000 FROM CITIZENS BANK, WHERE ROSS WORKS. !G SUNDAY, SEPT. 30: AFTER THINKING ABOUT THE DEAL FOR TWO DAYS, MARCOTTE STILL IS BASICALLY HAPPY. "I THINK, AS EVERYONE ELSE WOULD, THAT WE WOULD'VE LIKED TO GET THE HOUSE FOR LESS, BUT I THINK WE GOT A DECENT VALUE," HE SAYS. "I DON'T THINK IT WAS A STEAL." HE FOUND THE NEGOTIATIONS "A LITTLE IRRITATING" BECAUSE THEY TOOK SO LONG. HIS ONLY NERVOUSNESS STEMMED FROM THINKING THE NEGOTIATIONS MIGHT FAIL. "I WAS THINKING, 'OH NO, WE'LL HAVE TO GO THROUGH IT (HUNTING FOR A HOUSE) ALL OVER AGAIN.' " !G SATURDAY, OCT. 13: A MAJOR PROBLEM ARISES. THE BANK, IN THE NORMAL COURSE OF THE MORTGAGE APPROVAL PROCESS, SENDS AN APPRAISER TO EVALUATE THE PROPERTY, AND THE APPRAISAL COMES IN AT $138,000 -- $7,000 LESS THAN THE COUPLE HAD AGREED TO PAY. BUT THE BANK WILL LOAN ONLY 90 PERCENT OF THE APPRAISED VALUE; IN THIS CASE, THE COUPLE CAN BORROW JUST $124,000. THE OWNER, BRANDON, AGREES TO CUT THE PRICE TO $140,000, BUT NO LESS. THE COUPLE HAS $14,000 FOR A DOWN PAYMENT; COMBINED WITH THE $124,000 LOAN, THEY'RE $2,000 SHORT. "FIRST OF ALL, WE CAN'T AFFORD THE EXTRA $2,000, AND SECOND, WHY SHOULD WE PAY MORE THAN THE HOUSE IS WORTH?" ROSS SAYS. SHE AND HER HUSBAND BELIEVE THE DEAL IS DEAD. "IT'S A PAIN IN THE BUTT," SHE SAYS ABOUT THE NEGOTIATIONS. SINCE THE P&S WAS CONTINGENT ON BANK FINANCING, THEY WANT OUT IF BRANDON WON'T DROP HIS PRICE. !G SUNDAY, OCT. 14: THE DEAL IS BACK ON TRACK. WHEN ROSS GOES TO THE REALTY OFFICE, DEWOLFE NEW ENGLAND IN FOXBOROUGH, TO COLLECT THEIR ESCROW CHECK, BROKER JEFFREY L. SILVA ASKS IF THE COUPLE WILL ACCEPT A PRICE OF $138,000. ROSS AGREES, AND THE DEAL IS ON. (SILVA LATER SAYS THAT HE AND HIS OFFICE CUT THEIR COMMISSION SO THE DEAL WOULD GO THROUGH.) SINCE ROSS IS AN EMPLOYEE, CITIZENS BANK AGREES TO A MORTGAGE RATE OF 9.7 PERCENT ON A 30-YEAR FIXED-RATE LOAN; IF SHE QUITS HER JOB, THE RATE WILL GO TO 10.5 PERCENT. "I STILL FIND IT A LITTLE HARD TO BELIEVE," ROSS SAYS ANXIOUSLY. "I'M SURE SOMETHING WILL COME UP." THE CLOSING IS SCHEDULED FOR NOV. 2. !G FRIDAY, NOV. 2: CLOSING DAY, AND ROSS AND MARCOTTE ARE UNDERSTANDABLY NERVOUS. FOR STARTERS, THEIR APARTMENT LEASE IS UP. THEY HAVE TO MOVE THIS WEEKEND. THE CLOSING IS IN THE CRANSTON, R.I., OFFICE OF ATTORNEY LOUIS E. BALDI. BRANDON, SILVA AND THE COUPLE ATTEND. CLOSINGS COMMONLY ENGENDER TWO UNPLEASANT FEELINGS: EXTREME BOREDOM AND TENSENESS. BORING, BECAUSE MOST OF THE AVERAGE 1 1/2 HOURS IS SPENT SIGNING A SLEW OF PAPERS WRITTEN IN LEGALESE; TENSE, BECAUSE IF THERE IS A LAST-MINUTE PROBLEM, THE DEAL COULD GO DOWN THE DRAIN. BRANDON SIGNS OFF ON HIS DOCUMENTS AND LEAVES. ONE PROBLEM DOES ARISE, BUT IT'S SMALL: THE BANK WANTS $500 HELD IN ESCROW UNTIL SOME MINOR CONSTRUCTION DETAILS, LIKE THE INSTALLATION OF A HANDRAIL, ARE COMPLETED. GRUMBLING, MARCOTTE AND ROSS AGREE. MARCOTTE SIGNS A CHECK FOR $12,400, WHICH COVERS THE BALANCE OF THE DOWN PAYMENT, THE $500 ESCROW AND VARIOUS FEES. ROSS NOTICES THAT HE WROTE THE DOLLAR AMOUNT ON THE ENDORSEE LINE. "I'D SAY RICK'S A LITTLE NERVOUS, WOULDN'T YOU?" SHE JOKES. A NEW CHECK IS WRITTEN; THE CLOSING ENDS QUIETLY. LATER, BRANDON, A SILVERSMITH BY TRADE WHO BOUGHT THE NORTON HOUSE IN FEBRUARY, 1989, TO RENOVATE, SELL AND MAKE A PROFIT, CLAIMS HE LOST MONEY ON THE DEAL "BECAUSE OF POOR TIMING, THE STORY OF MY LIFE." IT WAS THE FIRST HOUSE HE HAS RENOVATED. HE ORIGINALLY PRICED IT AT $189,900, WITH $176,000 AS THE BREAK-EVEN POINT. BUT THE HOUSING MARKET SANK, AND HE HAD NO CHOICE BUT TO SELL AT $138,000, HE SAYS. "I WAS TWO MONTHS BEHIND IN THE BANK PAYMENTS," HE SAYS. "I'M GOING TO TRY TO DO ANOTHER ONE TO RECOUP MY LOSSES." !G SATURDAY, NOV. 3. WITH THE HELP OF FRIENDS AND RELATIVES, DONNA ROSS AND RICK MARCOTTE MOVE INTO THEIR NEW HOME.