Hey everyone, I wanted to get some advice on a house flip I have done over the last year in Madison, TN. This was my first flip, that I financed with a hard money loan. The finished house is a 3/2 that now looks really great, but the project has dragged on for a long time and has me in a tight spot. I purchased it in October of '22 for $266k with a targeted exit at $460k, and it has just recently been completed. It was a large flip project (original budget was $110k renovation costs) that went way over the planned rehab time as I had many issues with the GC I used. The original exit was to sell, but with the slowing market I would be lucky to sell for $440-450k at a $50-60k loss. I'm thinking about options going forward, and am hoping for advice for the following. Do I?

A. Leave it on the market this winter and keep paying an interest only hard money loan, with high monthly payments, hoping it will sell?

B. Get a 5 year 70% LTV DSCR ARM loan interest only at 8.75% and rent it out for minimal cash flow, hoping the value will go up after 5 years? This lender requires paying points selling before five years, so it doesn't seem to be the best option.

C. Some other Investor loan product I haven't come across yet.

D. None of the above- creative solutions I haven't thought about yet.

Any advice would be appreciated. The biggest thing I have learned on this journey has been just how strict you need to be with GC's. I'm sure there are great one's out there, but I needed to be way quicker to fire mine.

Nashville, Tennessee

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