Can't sell wife's house, price dropping like a rock

spidey07

No Lifer
Aug 4, 2000
65,469
5
76
This is sucking. There's NO movement. Price started at 225, reduced to 215, now reduced to 199 which a little over a month ago was in line with other properties in the area for what they actual sold for. No offers, no nothing. Open house every other weekend, people coming to see it as it's in one of the most desirable locations of the entire city.

It's zillow estimate is now 180, a drop of 4.5% in just 30 days. It's been on the market a little over 3 months. We're about ready to say "fuck it" and drop the price another 20k to 180.

Ouch.
 

rivan

Diamond Member
Jul 8, 2003
9,677
3
81
Sounds like it's time to be a landlord.

$200k house, you should be able to cover 70+% of the note with rent? If you don't want the hassle, find a service that will manage it for you.
 

BUTCH1

Lifer
Jul 15, 2000
20,433
1,769
126
Might want to hang on to it for awhile (if possible), still lots of foreclosures in my area anyway so banks are eating huge losses just to get crappy loans off the books..
 

BoomerD

No Lifer
Feb 26, 2006
65,235
13,494
146
Welcome to my world. Prices here are in the toilet...and not expected to get any better for several years.
 

mizzou

Diamond Member
Jan 2, 2008
9,734
54
91
Im banking on selling my house just ti break even on the loan weve had fr 6 years , takingvinto acciubt realtor commision of.around 5%

Bought at 155k will probably sell at 140k. I still need to repair the fucking deck so that is what is maaking me lose so much on this
 

Regs

Lifer
Aug 9, 2002
16,665
21
81
Renting is not the greatest savior either. The market is saturated with people that have the same idea or in foreclosure. Don't expect much above break-even when you rent.
 

spidey07

No Lifer
Aug 4, 2000
65,469
5
76
Welcome to the buyers market. :p

Also pics of said wife? ;)

Oh I know. The reason we want to sell this is to buy/build our dream home. We've still got mine as well so we don't want to carry 3 mortgages. We want to buy RIGHT NOW, but need to sell hers first and I'm not giving up my negotiating power by having a contingency.
 

HumblePie

Lifer
Oct 30, 2000
14,665
440
126
I still find the housing market to be absolutely stupid.

Take the house I'm living in. Nice little starter house that was built in a nice new neighborhood 3 years ago. Originally sold by the builder for $100K. 3 years later the owner is asking $150K. LOL!!!

There is no way I believe that this dinky little house I have has appreciated by 50% in 3 years. A year of which I've lived in. There has been no improvements or upgrades to the house. I really think the housing market is a joke when everyone expects it to always go up in value.
 

mshan

Diamond Member
Nov 16, 2004
7,868
0
71
Presumably the cost of your new house is also depressed, so to some extent, you are trading up from one depressed property to another.

I do agree that prices are all over the place, and like at the top of the market when everyone assumed prices will always go up, now it seems like no price is low enough and whatever price you list, people will automatically low ball you unless they have a well informed realtor who can explain what real valuations should be.
 

spidey07

No Lifer
Aug 4, 2000
65,469
5
76
Presumably the cost of your new house is also depressed, so to some extent, you are trading up from one depressed property to another.

I do agree that prices are all over the place, and like at the top of the market when everyone assumed prices will always go up, now it seems like no price is low enough and whatever price you list, people will automatically low ball you unless they have a well informed realtor who can explain what real valuations should be.

We've already made it clear to the realtor to make sure every potential knows that any reasonable offer will be considered. It's just frustrating to see the value (real value based on properties sold in the area) drop from 225 to 180 in just a few months. That's 45K cash we thought we'd have.
 
Nov 29, 2006
15,737
4,271
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Oh I know. The reason we want to sell this is to buy/build our dream home. We've still got mine as well so we don't want to carry 3 mortgages. We want to buy RIGHT NOW, but need to sell hers first and I'm not giving up my negotiating power by having a contingency.

But prices will continue to fall and youll just be back in the same boat. You owe more on a house then it is currently worth. I just bought 6 months ago and regret it already LOL.
 

spidey07

No Lifer
Aug 4, 2000
65,469
5
76
But prices will continue to fall and youll just be back in the same boat. You owe more on a house then it is currently worth. I just bought 6 months ago and regret it already LOL.

We only owe 70k on it. It's sickening to see about 150k of potential cash dwindle down by 10s each month. That's why we're about ready to drop it another 20k just to sell it because prices are still in freefall each month.
 

bl4ckfl4g

Diamond Member
Feb 13, 2007
3,669
0
0
It's crazy. I bought my house 2 years ago after it dropped to 175k. The previous sales was 220k. We thought the market wouldn't go much lower so we decided to buy...2 years later and it is worth about 120k.

This is in Mesa, AZ which is I think the worst or 2nd worst hit market in the country.

Glad I have no intention to sell.
 

ch33zw1z

Lifer
Nov 4, 2004
38,756
19,330
146
Wife+I bought our first house last Spring ('09) for 140k. Previous owners paid 210k, in '03 I believe. Yea, reality sucks right now for sellers. Definitely a buyers market.
 

rudder

Lifer
Nov 9, 2000
19,441
86
91
Renting is not the greatest savior either. The market is saturated with people that have the same idea or in foreclosure. Don't expect much above break-even when you rent.

Except people may be finding it harder to get approved for loans... renting maybe the best option for a lot more people now.
 

dfuze

Lifer
Feb 15, 2006
11,953
0
71
That is a ton of equity to lose on it in such a short time.

Sad thing is I wouldn't expect it to get better any time soon with such low consumer confidence.

Has the realtor meantioned anything about renting like the others suggest? They'd be able to tell you prospects of sucess for that.
 

Deeko

Lifer
Jun 16, 2000
30,213
12
81
Another vote for renting. My girlfriend's condo dropped from 250k in 07 to ~180k. Rather than sell it and take a massive loss, she's renting it out. Rent is covering the mortgage + tax, leaving her with just the HOA dues, and since her current pseudo-landlord (me) is a pretty swell guy its working out pretty well.