Newbie Can't sell Flip!

[Belinda R.]

BL: Purchased HUD property Dec 2013 for $32k, rehab costs and expenses were$34k. thats 66k cash of my own money in the deal. The good thing is that I dont have any holding costs other than utilities and property taxes, but $66k is still alot of money for me. Listed property for sale at $94k and have reduced price $85k since its been on the market since March 2014. All the feedback was great but no offers. Received a cash offer for $65k last week so I asked for proof of funds. I figured, I'd take the loss and take it as a lessons learned. Last night got a phone call from the realtor telling me the buyer has $50k cash and wants the seller to carry back $15k....NO DEAL!

Very frustrated here. Lessons learned from this disaster is to never over rehab. Never buy a house on a busy street. Never buy a house without a garage. My strategy was to appeal to first time homebuyers and make it a "wow" house to distract it from being on a busy street. WRONG!!!...LOL!  

Current Exit Strategy: Do a cash out refinance. Pull out equity and do a lease option agreement. I don't want to be a landlord but its looking as if my options are slim.

Any other suggestions? Exhausted!

[Jon Holdman]

At this point you must completely set aside how much money and time you have invested in the deal.  For buyers this is completely irrelevant.  They're only going to buy your house if its a good deal vs. the competition.  I've been there.  I know its tough to list at house at a price that's going to be a loss.  It just doesn't matter.  That's water under the bridge.  Price it right, get rid of it and move on.