We find ourselves deeply engrossed in a pivotal decision-making process concerning a cherished piece of real estate. The property in question boasts a substantial expanse of land totaling 7 acres, strategically located in close proximity to a bustling downtown area. One can even see the skyline. The property also features two residential dwellings, each generating a steady income of $2,000, even without any prior upgrades. Additionally, a pasture on the premises generates an additional rental income of $1,100.
We were about to renovate the properties and then raise the price. But our concern is flooding. Although we are not technically a flood zone according to the publications, we are not far from the water and are considered a mandatory evacuation area. We know if there is a direct, bad luck hit, most of our city will be under water, likely including our two homes.
Ideas thus far:
A). Sell the two homes within the next 30 days, keep the empty pasture lot lining it, before the hurricane season "as is". Maybe break even. Definitely not the full potential.
B) I renovate and sell the two homes at a profit, hoping a hurricane doesn't take us out this season before I can sell? Keep the lot as a potential sale down the road or for personal development. Continue to rent out for easy income.
C) Renovate then continue rent the homes out again and take the risk that one year a hurricane will take it out with the idea that we will eventually sell it as one big lot for a huge upsell. We started exploring commercial offers, but the offers we were getting were for long complicated contingency periods that would put us at high risk while we wait.
In light of the challenges we have faced, including family illnesses and bereavements, including the loss of our son, we find ourselves in a complex and emotionally charged process. Any insights or guidance you could provide would be greatly appreciated.
