2.5 months away from tax foreclosure. Help!

[Eric Coffey]

I needed to post this months ago. I’ll get straight to the point and then would appreciate any suggestions on how I might approach this. I have had a fusion of financial challenges and poor money management leaving me In the place that I presently find myself in. I am already in the early phases of a tax foreclosure from not paying my taxes for three years. Come January(auction date in January still unconfirmed) the city will be auctioning my home off, paying themselves the taxes owed which are almost 15k, and any other accrued fees and then paying me the rest. I am certain it’s going to be a tremendous financial blow if I let this happen. I don’t have any personal relationships that I can borrow the money from and that being said- I have been renovating my home for some time so I can sell it. The renovation took way longer than I anticipated. This is where I’m needing some solid feedback. The game plan thus far is to finish as much of this renovation as possible and come October 15th- wrap it up, list it and price appropriately to sell given the state of the local market and see what happens in the next 2.5 months. If it sells for an amount I am pleased with or can atleast live with, great- pay the taxes and carry on with my life. If it doesn’t sell- and I cannot come up with the money then it’s going to auction and that hit will hurt on so many levels. 
The icing on the cake is I had some previous renters prior to me moving to WA to complete this renovation that didn’t pay their utilities or water. The utilities follow them but the water stays with the property. It’s almost 2400$. I simply haven’t been able to pay it and my house was condemned with a stop work notice both placed on my door. Simply walking into my house is presently considered a criminal offense.

I am getting hit hard from a few angles and could really use some intelligent feedback right about now. I own my property free and clear so their is no bank note or mortgage. Borrowing against the house I wouldn’t know the first thing about, however from the little bit of homework I have done on getting a loan, due to the age and condition of the home- and I want to say the fact that I don’t have homeowners insurance or a solid verifiable income is going to inhibit the bank to even consider giving me a loan. Is that even a road I want to go down? Suggestions welcomed. 

Thank you 🙏 

[Marcus Auerbach]

The safest plan for you would be to partner with a flipper, they will know what needs to be done to maximize profit, how much it will cost and have the ability to do it (the right way). You own it free and clear, so you can "fund" the deal for the flipper, which is attractive. Please don't partner with a rookie, find someone who does several flips per year and has a track record of success (here on BP).

If you trust your own abilities, get a hard money loan (see top menu here on BP) - 50% of the present value should be easy enough - pay off the debt and finish the job. If you screw up the HML will take your house, so you have to be 100% certain you can handle this.