What are possible exit strategies when I rehab, can't sell, and want to mitigate holding costs?

[Josiah Halverson]

What are a few possible exit strategies when I rehab, can't sell, and want to mitigate holding costs? I'm a new investor and want to have few back up options just in case I have trouble selling. Assume I have a loan with a hard lender, my credit is not good, and I work a separate full-time job. Any suggestions is appreciated!

[J Scott]

Originally posted by @Josiah Halverson:

Thanks @David Niles . Let's assume I bought right, lowered the price and it's still not selling (as unlikely as it might be).

Unfortunately, most of your options would require that you're out of the hard money loan relatively quickly. The most common options would be renting or doing a lease option/purchase -- but with a hard money loan, you'd be hard-pressed to see positive cash flow and you'd be forced to pay off the loan when it comes due.

If you absolutely can't find a way to pay off that hard money loan, my suggestion would be not to borrow the money unless you were practically 100% certain you could either sell the place for a profit or you could bring the money to the table when selling for a loss.