Posted by DaveD (WI) on March 02, 2006 at 08:25:03:
Buried underneath Dorothy’s house? Yeah, and how her legs curled up once her ruby slippers were removed? Sorry… LOL… but that is the image I just had of your headline. I just saw a person a couple days ago with three houses bought on emotion, which will take down her fourth house as well.
She bought for the wrong reason. Financial wasn’t a consideration.
She put crappy financing on them.
She paid too much. Retail, through the MLS, of course.
And there isn’t a d@mn thing I can do for her.
She has that haunted look that she is minutes away from her whole world crashing in on her. Why? Vacancies, other stupid financial moves, bad luck. Made a mental note to myself to remember to make money on the buy… always!
But then, I don’t live anywhere near DW. There should be enough buying pressure to bail you out, especially if you sell on soft terms. Contract, l/o, whatever. Get a good downpayment and move on. I wouldn’t wish that haunted look on anyone. Hope you learned something. Playing with houses is serious business.
How to get out from under a house - Posted by Carol Ellis
Posted by Carol Ellis on February 27, 2006 at 16:16:34:
I just closed on a vacation home in Kissimmee. It’s older, but beautiful with a Pool and is close to Disney World. I love it.
The problem is after I closed I had a few things go wrong in my life and I can’t afford to keep it. I’m not sleeping at night with worry.
It rents out short term, but I’m so new to this that I’m not confident it can cover all the costs. I didn’t buy it to make money, I bought it because I love to be there. It was an emotional choice, not a financial one.
Any tips on how I might get out and just break even?
CAROL, DO YOU OWE WHAT IT IS WORTH, MORE THAN IT IS WORTH, OR LESS? YOU ARE NOT CONFIDENT IT CAN COVER ALL COSTS, OR IT CAN’T? YOUR SOLUTIONS DEPEND ON THE SITUATION. IF, RENTED, IS IT BREAK EVEN OR CLOSE, AND CAN YOU GET COMFORTABLE WITH KEEPING IT, OR NO WAY? CONVERTING RENTAL TO LEASE/OPTION, WITH THE PROPER KNOWLEDGE (I.E. PAPERWORK AND METHODS THAT PROTECT YOU), MAY ALLOW YOU TO COLLECT ABOVE MARKET RENT, AND PUT MOST REPAIRS ON TENANT-BUYER (THAT COULD SOLVE YOUR PROBLEMS IF YOU ARE WILLING TO KEEP IT). ANOTHER INVESTOR, POSSIBLY MYSELF (POSSIBLY!), WHO IS BETTER POSITIONED TO RIDE OUT UPS & DOWNS OF LONG TERM OWNERSHIP, MIGHT BE ABLE TO HELP DEPENDING ON SITUATION. MIGHT JUST TRY SELLING FSBO (BUT KEEP IT RENTED SO PAYMENTS DON’T EAT YOU UP WHILE YOU WAIT). E-MAIL ME SOME DETAILS IF YOU WANT ME TO SEE IF I CAN HELP, OR MAYBE JUST OFFER MORE DETAILED ADVICE. GOOD LUCK!
KNOW HOW YOU FEEL.I MADE A BAD INVESTMENT IN MASS.IN AUG.TO FLIP AND EVERYTHING HAS GONE WRONG.ALREADY LOST A TON OF MONEY AND LIKE YOU HAVE HAD A LOT OF SLEEPLESS NIGHTS.THE LAST POSTING WAS RIGHT ON.FIND OUT WHERE THE INVESTMENT CLUBS ARE,YOU MIGHT FIND SOMEBODY THAT WILL HELP YOU OUT.I HAVE MEANT A LOT OF INVESTORS SINCE BUYING THIS HOUSE AND NOW GETTING HANDS ON TRAINING ON INVESTING. GOOD LUCK