Houston Flip not selling

[Nicole Williams]

I have a flip right outside of Houston purchased on a HML that expires next month. I have dropped the price and the property is still not selling. I held Open Houses each weekend for a month. I thought switching to the BRRRR strategy might work; only Lima Capital is willing to refinance, but the terms are not favorable --I would need to put more money into the deal. What other options do I have at this point? Thoughts? Suggestions?

[Michael Le]

Generally the answer is because the price is not right. So let's take a look.

Your house is listed for $284k. It is a 4/2.5/2 that is 2531 sq ft on a 8397 sq ft lot. I found that there was a property right across the street from yours that sold for $243k. It is also a 4/2.5/2 that is 3006 sq ft on a 8088 sq ft lot. Both are built in 1981.

http://www.har.com/LeticiaAleman/sold_detail/30710229

Now I think your house is updated better but I don't think it's $41k better. And prior to your price drop a week ago you had it listed at $320k, which is $77k more for a house that is nearly 500 sq ft smaller.

The other house was listed 8/24/16 and the Days on Market for that house was only 5 days so you can see that it was priced well. Yours was listed a month later and is at 78 DOM.

I don't know the area that well and there are other houses that are priced much higher but they look to be on the golf course. The ones closest to you though are priced lower. I don't know what your break even number is but right now it looks like you're still overpriced.