Am I ever going to sell this house?

[bauchtanz]

I would not be so worried, but our house has a problem.
There is no garage. There is no place to put a garage.

Dh and reloacted due to a job change with me. I make double the salary, but you would never know it because we are just about broke paying the mortgage on our house in our old city (and associated expenses like heat and such) and the place we are renting. We rent from an area hospital, so the rent is cheap and we get to go month by month.

Dh got a second job a few weeks ago, but I don't know if we can keep doing this for another year. Even 6 months is going to be trying. (in addtion my MIL died and DD is now allergic to wheat)

We have dropped the price of the house over the past few months. If I could, I would drop even more, but we owe on the house more than the worth (one of those wonderful FHA homes with nothing down). We have put in tons of things, like air condtioning. And I know none of that matters in this market.

The house is in excellent shape. New everthing but with still it's victorian charm (for example: updated bath but kept the cool claw foot tub, hardwood floors and lead glass windows). I have things that other houses don't have like a new kitchen, or air.
We get tons of showings, but no one bites once they realize there is no place to even put a garage. The neighborhood has been a little bit of an issue, but not as much.

We cannot rent it out until we refinance because of it being an FHA house. I currently have a great rate, so if I did that, I would have to do it for years until the market gets better. Plus I would have fees with that.

I have a total of $2,000 in savings, which I have been hanging on to because even if we sell it now, if we don't get our asking price we will have to pay in $3,000. I have talked to the bank about a short sale, but I am concerned about ruining my credit.

Am I really the only stupid person here that bought a house without a garage? Many houses in the area don't have them, and if they do they are tiny model T ones that you can about put a little car in, if that.

:

Any suggestions? We even kept furniture (the nice stuff!) there to stage it! It has been on the market since last June.

[xmysticprincessx]

what state are you in? how is the market there? is it FSBO or do you have a real estate agent? how about having your agent talk to the buyers' agents to see what the buyers didnt like about the house? how much furniture did you leave? i've heard that you should keep the house as empty as possible so that potential buyers can envision their stuff in the house. maybe you just have a bad real estate agent selling your house.
how are the pictures in the MLS listing? do you have anyone in the area who could go plant some flowers (if its in a nice climate) to give it more curb appeal? winter is a slower time because there's fewer buyers in the market because everyone is thinking about the holidays and not moving in the snow/cold.
how about a shed? maybe you could get a $500 shed from home depot and have your dh and one of his friends put it up one weekend.
the area i live in still has a decent housing market, and houses here are staying on the market for 60-90 days before selling.

[thriftyqueen]

I understand the issue of no garage. Out house doesn't have a garage and was probably built around when yours was. We do have room for a garage, but it is so expensive to build one and we would never see a return on the money. Is there room for a nice carport? My realtor told us that helps for resale.

Or maybe lower the price a bit more and pay the remaining that you would have to pay. It may be worth it in the long run so you are not paying a mortgage every month on a house that you don't even live in. Maybe just try dropping it to $84,900. That way it's not too much less, but it looks less to potential buyers.

[Logan's Mom]

Hmm...

I like what the PP said and I'll go with finding a new realtor, re-fi and rent it out (can you still deduct the interest on your taxes) a year or so the market should be better or lower the price so you can get out.

[Herausgeber]

Are you offering help with closing? It's the same to your bottom line, but it's more of a help to buyers, who are usually constrained by the amount of cash they can bring to closing.

[BetsyS]

We recently put our house on the market. We owe exactly what it's worth(bought high, the market has tanked). We've only lived here 2 years, and we didn't have a downpayment.

We are offering closing costs to a buyer, plus we're prepared to drop the price if needed. We'll just have to get a personal loan from the bank to cover that. Payments on a personal loan, we can do. We can't pay double for housing, though (this mortgage and a rental in the new city), for very many months.

[MPsSweetie]

Where is the house you are selling? It sounds awesome!

We have had our house on the market for over a year, started at $69k now at $61k and nothing. And we have a very nice house. It sucks.

[bauchtanz]

Thanks for the advice.

We had a not so good and sort of shady realtor to start with. He was a great "salesman" but when it came down to it, we found out he was ONLY showing the house to his clients, what is known as an exclusive, although we did not sign and exclusive contract. He was showing our house to engineers at this large firm (who wanted things like a 3 stall garage). My house is in a neighborhood that most people work at public schools, non-profits, blue collar area. We only had a 60 day contract with him. He repeatldy lied to us, that sort of thing.
We dumped him and got our current realtor.

She is with a company that has by FAR the largest market share. She has been great, and her assitant as well. Her mom also lives across the street, so she has a vested intrest in not turning it back into a slimey rental. How many realtors go over and vacume before a showing if they think it would need it? Buy mums before an open house? Since I had a bad realtor to start with, I can see the diffrence now.

Problem is, the bad one we had from June - August. when he market was still good in our area (live in Iowa).

My property is so narrow, we cannot put a shed if we have to go through the building department. I tried when I lived there.
HOWEVER, we may not need a building permit for a small shed that has no permanet base (like those portable ones). Perhaps if we had one people could put thier lawnmowers there (ours is on the back porch, which is not visible from the street) That is something to think about.

There is only front street access and one cannot go in the front.
When the house was built trolly tracks went in front, so most people took it to work.

I am just wondering, say we drop our price WOULD sell our house. You know? I know I just have to have a talk with my agent. Perhaps after Christmas I should have her re-evaluate the price comparisons in the neighborhood. I know the holidays are slower and I just need to wait......

I try to keep in mind that none of the houses in my area are selling. 6 houses in a 3 block area.

It is just so sad to have something you loved so much, that noboday wants. I have sunk every penny we had in restoring the house....... It's like putting your hopes and dreams on the market.

:

[gentlemango]

We are in the same boat. We want to get out of our older home but we're underwater because of what the market has done in the last two years. No advice, but I really feel for you. You might have to take a loss, I hate to say. The market is still on its way down. I read in the newspaper that analysts aren't expecting the national housing market to stop downsliding until 2010.

[bauchtanz]

Updated.

My realtor understands my pain, I expained to her.

I asked for comps for SOLD homes in my area without garages (not sitting like mine).

We dropped the price to as low as we can go and sell cover our losses.

I thought I was going to vomit after I sent an email to her confirming. :Puke

Her exact words were "Our company is saying things are only going to get worse, even in spring, get out while you can and move on with your life."
She said the market is going to flood with forclosed homes and I can already see in all the MLS listings "bank owned, subject to bank approval...)
She thought dropping it was enough, not to bother saying we will pay closing costs because it is just expected in this market.

Maybe we will have to drop more, after we save more and such, but, this is where we are at now.

[lalaland42]

I hope it sells soon.

[KatWrangler]

Oh Mama I feel your pain. We have been in similar situations (not now, but in the past).

Your agent is right, things are going to get worse. I live in Montana and my husbands boss is also a realator on the side. He says the housing market has not hit the bottom yet. The spring will show worse.

[wombatclay]

I'm so sorry. We're selling our home and we have a buyer coming tomorrow to do the inspection...we're in a similar market and the house HAS to sell so I'm doing everything I can think of to make tomorrow a wonderful experience for the buyer because this is most likely the only offer we'll get for at least 5-6 months.

I hope the price drop attracts the people you need...that perfect buyer may be right around the corner. I'll keep my fingers crossed for you!

eta- we don't have a garage either and the on street parking can be non-existant...especially after it snows. We tried to play up the fact that the bus line is close and there are neat things to do/visit/go/see/eat at within walking distance. Could you try something like that? Or we also asked a business down the street if it would be possible to rent a parking place overnight/on weekends in their lot. We never did it but we can tell a buyer that there is rentable parking two doors down

good luck!

[bauchtanz]

I live in Iowa where people hate public transportation.

When we had the evil realtor he tried to convince us that we should offer to find a garage for someone, but he didn't realize that if it was that easy, we would have done it for ourselves, and, most people in the area had small 1 stall garages they used for themselves (or thier junk). We never minded parking on the street, because that is what you do when you rent most of the time. Hopefully someone else will realize that as well.

Anyway - she is doing an open house on Sunday from 1-3. She says there are still buyers out there.

Thanks for the suggestions!

[mightymoo]

I think you are making the right move. Better to drop the price and get it sold than sit and pay mortgage payments on it for another 6 months in a declining market.

[polyhymnia]

I don't know if this is any support or if it will just make you feel worse but my friend just sold her house in Colorado, it has been on the market since January. But it did finally sell! And she didn't have to drop the price too far.

[CarrieMF]

If the average was $79,000 I'd drop it to $80,000 or $81,000. It's still a drop from where you have it listed & gives you some negotiation room.

Even if you have to take out a small loan to cover the costs, the amount you are paying on the mortgage now will go towards that & get rid if it fast. Drop the price to get rid of it.

Find out about the shed, here you would not need a permit for a shed.

[Maddy123]

Years ago, we were in this situation. We were able to rent out our house and we did it for awhile and then sold. (I know you can't rent and need to sell, so it's a bit different).

Sometimes it is well worth it to bite the bullet and take a loss. It is hard to do, but can make your financial future brighter in the long run. One of my family members took a big loss ($10,000+) on a house, but in the end, it was worth it. He and his wife got "out from under" the house that wouldn't sell. Later, it all worked out and they ended up in a much better financial situation. But at the time it was grim. (Now they own their current house, mortgage-free...)

Hope your house sells soon. Hang in there...

[SleeplessMommy]

Yikes!

Some things to check:
* Make sure the MLS listing is 100% correct (street name, square footage, etc)
We know someone who got a really good deal on purchase because the house was listed as street not road, an no one could find it. :

* Advertising on craigslist is free. In your free add put "mls # ......", please contact _____ to arrange for showing - so its clear you are not trying to "sell" around the realtor. Ads on Ebay cost $25 (or a little more) they are considered "informational" rather than offers to sell, so if someone bids you have no way to hold them to it. I probably would not bother with Ebay.

* I think dropping the house price to the absolute minimum you can afford is the right way to go ... if its too low you will get more than one offer, I hope. In this market, selling the house fast is so important.

* If your DH moved for a job, ask/beg the employer to buy the house.

If you rented out the house, could it cover mortgage payments? Though selling is a better way to go if you can.

[AprilDaisy]

Try to have hope that the right buyer simply hasn't gotten there yet! We just bought a house without a garage and are okay with that. We also were actively looking for a bit before we found it. Good thoughts towards a sale soon!