Posted by Mark (SDCA) on November 15, 2006 at 14:39:54:
Buyers can get 100% OO financing even without seller carry. The guy who is buying one of my rentals is doing just that. And Im kicking in some of his closing costs (well, A LOT of his closing costs) so he is gtting in for 1% total out of pocket.
GL,
Mark
Getting bummed over this bad market - Posted by TryingToMakeABuck
Posted by TryingToMakeABuck on November 15, 2006 at 10:49:28:
Own four properties (not counting personal residence). Two are rented; two are listed. One since May, the other since August. Neither is selling and I’m bleeding to death. Both are priced reasonable and we’ve dropped the initial price on both. I’m tempted to drop them more and take a loss just so I can re-group and go it again.
I sure hope this market recovers in the spring. I think it will but don’t know how much longer I can hang on. Guess I don’t have a choice. Neither property is financed to rent.
Re: Getting bummed over this bad market - Posted by clarez
Posted by clarez on November 16, 2006 at 20:02:34:
You know, buy and hold does work with time. Are you unable to get teneants in the two houses you are selling? That might put a hold on the bleeding. Just a thought. If you can wait it out until the market comes back then you can just borrow on those homes and keep chugging along…
Re: Getting bummed over this bad market - Posted by Joe
Posted by Joe on November 16, 2006 at 16:21:37:
Where are you located, and what makes you think the market will pick up in the spring? For most of the markets that are having problems right now, the indicators all show the worse is yet to come. More ARMs resetting, record inventories that won’t drop over the slow season (winter), interest rates staying up, etc.
Depending on where you are located, I might be inclined to tell you to cut your losses and get out while you can. However, if you’re in a market that didn’t have a massive run up in the last couple years, things could be better in the spring.
Re: Getting bummed over this bad market - Posted by ken
Posted by ken on November 15, 2006 at 16:09:09:
I am trying an idea i came up with recently.I am going to list a property with a realtor at 10% commission.I am going to tell them the listing agent gets 3% and the selling agent gets 7% This will have every agent who sees it pushing my house.The extra money it costs me will be saved by not making mortgage payments or heat bills.Run the numbers and think about it
Re: Getting bummed over this bad market - Posted by Marketisgreat
Posted by Marketisgreat on November 15, 2006 at 12:24:30:
Post the properties here and maybe someone like me will be interested. Market is still booming here I feel sorry for guys like you.
Re: Getting bummed over this bad market - Posted by David
Posted by David on November 15, 2006 at 11:03:04:
What market are you in?
Have you explored the auction option? I’m looking into this myself as I inherited a condo in Ft. Lauderdale that isn’t selling either after numerous price drops. I’d rent it but the condo assoc doesn’t allow rentals! Does anybody have experience with auctions? I read an article recently in business 2.0 that says you take a cut, but you can be sure to move it quickly–and it’s gone. There’s a web site, condo.com, I checked but they weren’t very responsive. I’m trying another place that was recommended and I’ll let you know if I have any success.
David
Re: Getting bummed over this bad market - Posted by Don (VA)
Posted by Don (VA) on November 15, 2006 at 19:31:53:
That’s just a variation on offering a dollar amount bonus to the selling agent. It’s a tried-and-true way to attract attention and should result in a lot more interest. And it’s one of the more affordable ways to generate the interest…often better that cutting the price of the property. So, go for it.
Just a word of caution: Make sure the house is competitively priced. Don’t get greedy by trying to make up that extra commission (or bonus to the selling agent) by overpricing the property. Agents will feel like they’ve been “burned” if they show a property to prospective clients and it turns out to be a comparative dog.
Good luck.
Re: Getting bummed over this bad market - Posted by RC
Posted by RC on November 16, 2006 at 13:11:15:
Where are you located? I believe Honolulu / Hawaii is still chugging along (very different circumstances out there.)
RC
Re: Getting bummed over this bad market - Posted by M. Osterman ( Nor. Cal )
Posted by M. Osterman ( Nor. Cal ) on November 15, 2006 at 12:59:45:
David,
Why not sell it with financing? I’ve sold some Mobile Homes the same way. You may find it’s good monthly cash flow.
Mike
Re: Getting bummed over this bad market - Posted by David
Posted by David on November 15, 2006 at 13:22:02:
That’s a great idea, Mike. You mean offer a 2nd as a carryback of 20
percent? Then people can get in with no money down, which could be a
great motivator. And if they default for any reason, I can take the place
back? But what if there’s a 1st on the place? Could I still foreclose on it
if it came to that (which hopefully it wouldn’t)? David
PS It would at least allow me to stand out in a market crowded with so
many other condos.