All Forum Posts by: Danielle R.

@Amit M. lol, thanks for the comment. "chopped pillow!" Too funny. 

@luc boiron yours is lovely. Maybe I should study others, go to open houses etc. and try to replicate what looks good myself.

Fixing structural will likely cost me between $200,00 to $300,000, consensus is it needs a floating foundation (I'm in a slide area with earthquake risk). There is a high risk in damage to my house for very uncertain (if any) positive return. All the agents I've talked to advise against unless I'm planning to live there myself and hold long term. So that's who I'm marketing to, people who want to get into a 1mm+ neighborhood at a discount and are willing to do the repairs over time. I'm open to doing the kitchen. I just don't want to do anything that's not going to result in positive ROI.

Hi All,

New to BiggerPockets but I've found this community a great resource and so grateful to the many wonderful people offering their ideas and advice to someone new like me! 

Here is my situation: 

I'm in Bay Area (Berkeley) getting ready to sell a bad house (major foundation issues) in a good (A+) neighborhood during a hot market. I've decided to sell "as is" with full disclosures on all the structural issues. I am planning to do some minimal cosmetic work to goose it up for sale. This is my first time selling a house. 

I'm still shopping for agents, I've talked to three so far. Two out of the three agents want me to spend between 4-5k on staging. 

One agent says I don't need to stage and can use my own furniture. The other two are insistent that good staging is key to having people fall in love with the house (thus more willing to overlook the uglier aspects). 

My initial thoughts are that staging is expensive and a big hassle (what if I can't sell it in the timeframe I'm looking at and then need to move all my furniture back in?). I also was hoping the buyer might want to buy some of my furniture along with the sale. If it doesn't sell, I want to be ready to go right back to renting it short term. 

In your experience does hiring a professional stager work the wonders these agents are saying it does? Or, can I stage it myself by minimizing/moving my current furniture around, and/or buying a few new cheap pieces from IKEA? 

I'd love some feedback. I think my current furniture is good but of course that is subjective. The agents point out my house is small and it would work better to have smaller more modern furniture that makes the house feel bigger, improves the flow, and appeals to younger buyers.  They also say no one wants to see a TV in the living room...true??

Here is my airbnb profile to get a feel for how I have it set up now. https://www.airbnb.com/rooms/1772860

Any and all feedback welcome! 

Thank you!

Danielle

Hi, Thomas, Thanks for your response. Could you let me know more about this idea and how seller financing might work? I still owe $300,000 on my current mortgage. Thank you, Danielle

Hi everyone, Thank you again for the thoughtful advice. I'm meeting with another real estate agent this weekend for a second opinion. Maybe it's worth getting some bids even if I don't plan to fix it myself. The more I think about it, the more I just want out. I don't want to deal with breaking windows (some I just put in!), drywall, plumbing and all the other risks. The upside would have to be significant for me to take on this kind of risk and spend that kind of capital, especially if the house becomes unlivable and has to sit empty during construction time. Really appreciate everyone's feedback, it's been so helpful to have folks familiar with REI to bounce ideas off.

One thing that gives me pause is bought in 2013 with $100,000 down and I have $300,000 left on my mortgage. I can easily rent for $3,000 or more in the area. This seems like a decent return based on what I paid. But at current fair market value (Assuming that's $750,00-$800,000 even with the issues) it's a terrible return. 

I've already sunk so much money into fixing this house, it's one thing after another going wrong. Like a sieve with a thousand holes. Plus the amount of time and headache to manage. 

Is there another way to look at this? Is there anyway it would make sense to use the potential cash flow from a steady renter at say $3,200, pay for the pricey foundation with a HELOC and not have to sell at a discount? The house is fully furnished and my ideal marketing is towards visiting professors/graduate students/people who are in area for limited time frames.

I'm just highly worried about the market being at a top and the need to get out while the getting is good. 

Thank you everyone for your ideas and advice. Much appreciated!

Familiar with foundation in slide areas!

I have a great cleaner but may charge more than you are looking for. I can put you in touch so you can negotiate directly