Buying & Selling Real Estate
Market News & Data
General Info
Real Estate Strategies
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/hospitable-deef083b895516ce26951b0ca48cf8f170861d742d4a4cb6cf5d19396b5eaac6.png)
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_trust-2bcce80d03411a9e99a3cbcf4201c034562e18a3fc6eecd3fd22ecd5350c3aa5.avif)
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_1031_exchange-96bbcda3f8ad2d724c0ac759709c7e295979badd52e428240d6eaad5c8eff385.avif)
Real Estate Classifieds
Reviews & Feedback
Updated 4 months ago on . Most recent reply
![Alyssa Balam's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1476362/1621512685-avatar-alyssab24.jpg?twic=v1/output=image/cover=128x128&v=2)
Forclosure or try to sell at a loss??
My husband and I acquired a rental property in 2023 with hard money with the intention of rehabbing the home and renting out the 3 units, refinancing and paying back this short term loan.
Unfortunately the ARV we relied on was significantly off and we have been stuck paying a high interest payment on this loan for months. We've tried to sell the property outright with no luck and would only be able to refinance if we put about $80k down.
Basically, we’re at the end of our rope with the place. Thoughts on (1) biting the bullet and starting the foreclosure process versus (2) waiting it out and trying to sell the property (at a loss)? No one putting in offers at our break even selling price.
Note: All units are leased out currently and the total rent is currently equal to the interest payment we’re making so we’re at a break even but obviously can’t do this forever.
Also, the lender won’t take back the property in leu of payment-we asked.
Most Popular Reply
![Mark Cruse's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/182411/1621431547-avatar-cruzx.jpg?twic=v1/output=image/crop=315x315@0x10/cover=128x128&v=2)
I dont understand why a HML would do a deal with skewed numbers in the first place. Was it your rehab over runs which made the numbers go left. ? For me, If i could come up with the 80k I'd do it, and wait it out for awhile with a decent rate. Putting that much down with a normalized interest rate I assume the cash flow is there. I'd ride that horse for 5 years or so to see where the appreciation and market is. This is the importance of having multiple exit strategies.