Author Topic: Advice for getting rid of my house  (Read 735 times)

VCaddy

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Advice for getting rid of my house
« on: March 27, 2019, 07:35:35 PM »
I need some advice on how to proceed with my house in North Dakota.  It's in a small town 20 minutes from Minot.  I bought the house in 2013, the market in the area was hot due to the oil boom and flood that had damaged many houses.  Well, the market cooled right down by the time I listed the house for sale in May 2018.  I'm in the military, so it's hard to keep up with the house from a distance.  It sustained $5600 in damage when the radiators froze up despite the electric heaters I had on thermostats to prevent such a disaster.  That, plus paying mortgage and bills on an empty house is getting really tiresome. 

Numbers -
I paid 146K for it
County appraises it at 149K for taxes
It is listed for 139K, had 2 showings in almost a year now
I owe 128K

I've been hesitant to rent it out.  I'd much rather sell, and I can't see renters wanting to go month to month.  Having renters on longer term leases would hinder selling it I'd think.  I would definitely rent if it doesn't sell by winter, I can't have it vacant over winter again.  Considering my mortgage payment (960), rent would come up short of covering that.  I suppose anything is better than paying for the ghosts who live in it now. 

Should I chop the price in an attempt to dump it? 

I don't even really want to talk foreclosure, but can the bank see that I have assets and come after those?  I'd be rid of the damn thing, but at what cost? 

As you can see, I'm fairly clueless on real estate.  Just took that terrible conventional wisdom of "buy if you're in place for 4+ years" and called it good.  Any tips or other options welcome, thanks!

YttriumNitrate

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Re: Advice for getting rid of my house
« Reply #1 on: March 27, 2019, 09:16:28 PM »
Should I chop the price in an attempt to dump it? 
I would change that to "should I chop the price in an attempt list it at its actual market value?" and yes, you should. Your options are basically to either take your lumps all at once, or do a slow bleed over a few years. My preference would be rip off the band-aid and be done with it.

Mississippi Mudstache

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Re: Advice for getting rid of my house
« Reply #2 on: March 28, 2019, 07:14:25 AM »
Yep. I've been in the same boat as you - twice, actually. The first time I got renters who did not pay most months, broke windows without telling me, and even when they did pay rent it only covered half the mortgage. Every reluctant landlord's worst nightmare, basically. I was finally able to dump the property with a deed-in-lieu after three years of torture. The second time wasn't as bad - I got renters who took care of the place and eventually bought it from me (albeit at a steep loss). Moral of the story, you need to get over it and cut your losses. The sooner the better. Price it at market value, sell, and move on with your life.