House sale help

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Our house has been on sale for 80 days now with $157/ sqft. We don't have finished basement. Few other houses in our area sells at $136 /sqft since it adds up with finished basement. But it should take only $12k to finish basement.
We need our house to be sold by July/aug as we have to move out of state by then and need down payment for our new house there.
What are the options I have .
1) Rent it out and get home equity loan for down payment. My monthly payment is $2100 and rent might be $2200. I know it is eventually a loss.
2) reduce the price and sell for loss
3)or finish the basement and sell for same price

Please help

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No one is more encouraging than I am

rufflesinc (Apr. 25, 2017 @ 10:06a) |

Great to hear you have an offer and hope all works out.

letsspendlotsofmoney (Apr. 25, 2017 @ 10:54a) |

typically, people are not "encouraging" someone else when they say "I told you so"that's gloating.

imbatman (Apr. 25, 2017 @ 10:58a) |

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Reduce the price would seem to be the easiest solution.  If you have the time you can pursue finishing the basement, but I think that's going to be a lot of work with unknowns.  The rental issue will be hard to deal with and then you still have to sell the house remotely.

jeysen80 said:   2) reduce the price and sell for loss
 

  It doesnt matter what you paid and how much profit/loss you will have. Price it at what the market will bear.

OP - you seem to be focused on the finished basement as the only attribute that determines value. it isn't.

without a ton more details, nobody here can give you the best advice.

I would not make any large changes to the home unless they are needed for loan qualification or habitability, like replacing a broken toilet. Is your home listed on the MLS? Have you got any offers in the last 3 months?

Cut your losses... Have you had any offers? 80 days seems like a long time to be on the market with no offers. Reduce your price by the cost of the finished basement and it should generate some interest.

Doing the upgrade now would be a mixed bag I think. You'll have endured all of the decision-making, mess, and cost uncertainty, which will appeal to buyers who won't want to deal with any of that. But you'll also have made decisions that probably won't exactly match what any buyer would have chosen, so they may not value the finishes as much as they actually cost you. Usually, homeowners plan to get some value from upgrades themselves, but since that's not the case here, I don't think that's a smart decision.

You can also probably find an acceptable rental in your new location if the timing doesn't work out. I don't know of any HELOC offered for investment properties, and it's probably too late to get an owner-occupied one since you've had this on the market. Maybe Home Equity Loans could still work, but you might have to do a cash-out refinance if you want to access your equity before selling.

No way a basement can be finished for $12k plus lets just say that you found someone who can do it for $12k, what's the guarantee that it will be done in two months?  Just cut your losses and sell it as is. 

Just eat the loss, and move on. You wont want to deal with this headache once you get into a new location/job(I assume). 80 days is a long time to have a house on the market without looking at why it hasn't sold. The typical issue is the price, unless your house has some major defect, or is un-mortgagable for some reason. So cut the price. If you really want to get it sold quick you will need to make a decent cut. A couple thousand isn't likely to put it back on brokers/agents lists to re-show to clients.

aside from the cost, another downside to a newly finished basement is that it will be viewed with suspicion by some buyers and private inspectors that you're covering up basement foundation or water problems.  Cut the price and it will sell, I guarantee it.

ach1199 said:   No way a basement can be finished for $12k plus lets just say that you found someone who can do it for $12k, what's the guarantee that it will be done in two months?  Just cut your losses and sell it as is. 
  Too many details needed to make a blanket statement like that. If it's 300 sq foot of finishable area and a utility area, 12k is way too much money. If there's not a bathroom involved, that cuts cost quickly too. That said, even if conditions were perfect that 12k would actually do the job, and the work actually get done in time, whats the best you could hope for? Additonal 12k in realistic asking price (if youre lucky) Thats not worth the effort, headache, stress to just get your money back (maybe).

Jaas82 said:   Our house has been on sale for 80 days now with $157/ sqft...
I see these terms - pricing houses by the square foot - occasionally and always cringe.  It's just another data point, but not all that useful in my opinion.Put some real numbers on it.  Say, for example, that you have a 2,000 sf home priced at $315k (2,000 x $157).  Are you saying that your neighbor's house with the finished basement is selling for $380k (2,800 x $136)?  If so, I would say that there is a lot more going on there than a finished basement.   

How is it staged? Consider posting a link to its listing on zillow or realtor.com We may be able to spot some quick fixes.

What does your listing agent have to say about the issue. He/she is going to make a 6% commission (3% if split with a buyer's agent) on the deal. Make them work for it.

Have you tried any of the "homevestors" or other such "we buy homes for cash" kind of folks/places?  I don't have experience with them and others here can likely offer more on if it would be a good move, but I'd think it couldn't hurt to see what they would offer if you absolutely have to sell.

New user id and two days without any follow up... Thanks, op enjoy selling your home.

dcwilbur said:   
Jaas82 said:   Our house has been on sale for 80 days now with $157/ sqft...
I see these terms - pricing houses by the square foot - occasionally and always cringe.  It's just another data point, but not all that useful in my opinion.Put some real numbers on it.  Say, for example, that you have a 2,000 sf home priced at $315k (2,000 x $157).  Are you saying that your neighbor's house with the finished basement is selling for $380k (2,800 x $136)?  If so, I would say that there is a lot more going on there than a finished basement.   

  yea, I had a realtor that was only focusing on $/sqft when selling my house (which came up with a list price around 25k less than probable market value). She got not hired.

Thanks all for your input.... We got an offer with 20k less that listed price and 11k Seller assist.. so almost 31k less. We have sent counter offer accepting 11k seller assist and 4k less than sale price (setting up a middle ground). lets see.

 

Jaas82 said:   Thanks all for your input.... We got an offer with 20k less that listed price and 11k Seller assist.. so almost 31k less. We have sent counter offer accepting 11k and 4k less than sale price (setting up a middle ground). lets see.
  I told you

rufflesinc said:   
I told you

 This is worthless. Please stop posting things like this.

meade18 said:   
rufflesinc said:   
I told you

 

 This is worthless. Please stop posting things like this.

  I think he is just encouraging.

letsspendlotsofmoney said:   New user id and two days without any follow up... Thanks, op enjoy selling your home.
  
I didn't mean to be quite. I posted Sunday night and was quite busy at work and home with kids yesterday! I definetely appreciate all the inputs here


meade18 said:   
rufflesinc said:   
I told you

 

 This is worthless. Please stop posting things like this.

  This is worthless. Please stop posting things like this.

Jaas82 said:   
meade18 said:   
rufflesinc said:   
I told you

 

 This is worthless. Please stop posting things like this.

  I think he is just encouraging.

  Spend a little more time on the forum. You'll see that he's not.

meade18 said:   Jaas82 said:   
meade18 said:   
rufflesinc said:   
I told you

 

 This is worthless. Please stop posting things like this.

  I think he is just encouraging.

  Spend a little more time on the forum. You'll see that he's not.

No one is more encouraging than I am

Great to hear you have an offer and hope all works out.

rufflesinc said:   
meade18 said:   
Jaas82 said:   
meade18 said:   
rufflesinc said:   
I told you

 

 This is worthless. Please stop posting things like this.

  I think he is just encouraging.

  Spend a little more time on the forum. You'll see that he's not.

No one is more encouraging than I am

  typically, people are not "encouraging" someone else when they say "I told you so"that's gloating. 



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