Why can't I sell my flip!
Investor · Nashville, TN · Member since 2015 · 6 posts · 4 votes
Why can't I sell my flip!
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Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
9yClearly the market has spoken and unless your marketing is poor (which appears to not be the problem) then the highway is the factor causing the problem and since you can't move the home or the freeway, then you can only lower the price. Time is your enemy and even if you take a loss here, it could be better than gambling on waiting it out. Opportunity costs must be factored in here and the quicker you get on to your next profitable deal, the better. Lower the price, perhaps put up higher sound proofing fencing to cut down the noise, and dump this.
FYI, I never buy homes on major streets, near railroad tracks, in airport flight paths, or any other major deturant to buyers. The bigger your buyers pool the better. Take this as your lesson in where to buy.
48 Replies
- Real Estate Investor · Shelton, WA · Member since 2013 · 369 posts · 639 votes9y
@Hannah Stephenson
I don't think proximity to the interstate is your problem
Just going off the photos / 3D view:
The electrical outlets and light switches look original, with new covers slapped on them.. and they look absolutely hideous even in the photos.
The master bath looks awesome, but the other two baths...
The vanity in the larger 2nd bath looks ..meh..like something you got for cheap and threw in there.. with the greys and whites it looks out of place
The back bath though! .. old oak looking vanity with polished brass knobs.?! polished brass?... in a $500k house..? come on.
With that, brushed nickel in some rooms, chrome in others.. and brass? Pick one and run with it (just not the brass!)
So bottom line, the first thing a buyer (and buyer's agent) is going to ask themself is "What else did they cut corners on?"
Hope ya get it sold! :) - Real Estate Investor · Shelton, WA · Member since 2013 · 369 posts · 639 votes9y
Master walk in closet not only has no shelves, but still has the original 1960's "board and a bar" wood shelving supports in the wall.
- Tucson, AZ · Member since 2017 · 24 posts · 48 votes9y
Sorry to hear it's not moving. Just looking at Zillow and the matterhorn tour, there are a couple of things I noticed, which are minor, but could make a difference.
In Zillow picture 18, you can see those awful cheap corded blinds that have no place in a $500k home. Families with kids will poo poo that immediately. You should remove them completely and the brackets in the windows of the other rooms where the blinds are gone, but the brackets are still there.
In the matterhorn tour, it looks like the house is unfinished. The Master BR closet has no flooring, isn't painted correctly and looks rather bad. All cosmetic, but at your price point, this house should be finished with attention to details.
Other doors are missing deadbolt faceplates and some of the interior doors look dirty, as if they weren't painted.
The one bathroom has all the overhead lighting hanging by the wires from the ceiling and is unfinished.
People looking at your 360 tour are going to see an unfinished house that was put on the market without caring to make sure all the details were buttoned up before creating your marketing tools. It may be discouraging people from going to a live showing. Combine this with knowing it's close to the freeway and your customer traffic will be slow.
Based on what they see online, when people come into the house for a live showing, they are specifically going to look at the issues from the Zillow and matterhorn ads and look to see what you've done to finish these things.
I hope you are able to sell it soon.
- Rental Property Investor · Nashville, TN · Member since 2015 · 102 posts · 129 votes9y
The price is too high. You can get new construction closer to downtown for 450K. Maybe Airbnb it?
- Real Estate Investor · Williamson County, TX · Member since 2011 · 1k+ posts · 961 votes9yCurb appeal. That price range wants to not only be drawn in but to have others be impressed with the exterior. Ideally use a three color paint scheme...or at least paint the front door a contrasting color. But that wont be quite enough, Two urns with red geraniums? Something. And always close the toilet lid for photos...why do we even see a toilet?
- New to Real Estate · Markham, ON · Member since 2017 · 17 posts · 4 votes9y
I am newbie here and haven't flipped a coin yet let alone a house BUT I do have a few comments I'd like to make on this property and I hope you find them useful:
1. The exterior and landscaping of the house look drab at best. When I pull up in my car with a budget of half a million dollars this house will not grab my attention. Try sprucing it a little bit, try painting the door with another contrasting color and take some of that color to the A-shaped roof border facing the camera in picture on on Zillow. You also absolutely need to add some landscaping, maybe some bushes or anything that gives some color.
2. Going inside, as a first impression the reno looks good honestly, but on further inspection and attention to detail there are some major misses. All the electrical outlet covers need to be changed, white plastic is ugly and cheap and has no place in a $500K home. The choice of lighting for the rooms (fan+built in light) is a poor choice (in my opinion). I would have liked to have more modern looking spotlight fixtures.
3. The third bath is totally off. The vanity looks very cheap and out of place. The counter top also looks cheap and what immediately came to my mind was "with that counter top extension running over the toilet, how am I going to access the toilet flush if I need to fix it someday?" There seems to be not enough space to lift the lid and fix it if something goes wrong. And trust me if I, sitting thousands of miles away looking at pictures, was able to notice this potential problem other people seeing the house will most definitely see it too.
4. Lastly, the 2 line listing description on Zillow is very poor to be honest. It shows me someone was lazy writing it and makes me think what else where they lazy in doing? You need to write a better description of the property focusing on the strongest selling points of the house. If you think the highway is the deal breaker you have to invest in some double-glazed sound proof windows and focus your marketing on the fact that noise is not an issue at this property.
Those are my 2 cents and I hope you get it sold soon! - Investor · Nashville, TN · Member since 2015 · 6 posts · 4 votes9y
Thank you to all who shared your comments and feedback. This is one of my first posts on BP and I am so grateful for the amount of responses. I am considering them all and am hopeful to move this house soon!
- Real Estate Agent · Belvidere, IL · Member since 2013 · 39 posts · 9 votes9y
I would guess that the market has slowed down a bit with the school year just starting. Have you tried doing a broker open house? Having food and inviting agents? Those are big here where I live, in Northern IL. Also, social media is big, you could take a video of the home and post it to FB. Another thing I was just thinking of, if the house is in a higher peice point, those move slower as well. I hope you get it sold!
- Real Estate Agent · Garden City, NY · Member since 2016 · 3k+ posts · 1k+ votes9y
I feel for your situation. I think everyone here has given some excellent feedback.
Here are a few thoughts...
1> How was the initial buyer traffic? Did people immediately call to the see the house? If there was traffic, were there any offers at all, even low ones? Did the price changes increase traffic, or same results?
I find the Zillow activity interesting:
Views since listing: 16,628.
64 shoppers saved this home
How many people have actually seen the house? 64 People actually saved the house. Somewhere in there would be a potential buyer.
Have you guys spoken with any of the original buyers that saw the house after the price drops?
2> I suspect the interstate isn't "the" issue. There are lots of homes near me backed to a major expressway and they are expensive areas. It's not everyone's cup of tea, but some people don't mind it because of the local community.
Some minor thoughts, most have been mentioned already.
3> Yes. Everyone has mentioned that the exterior is uninviting. And that was my first thought.
However, 64 people did save the home on Zillow.
So, the curb appeal might be offset by the interior photos. But, the exterior needs a little color in the landscaping. The original photo from 2016 had overgrown bushes, but the greenery was inviting...
4> Yes. There is something going on with the final touches. The kitchen photo shows a missing outlet cover next to the refrigerator. Some of the other rooms as well. Many buyers will probably not even think it's a big deal, but it's noticeable even in the photos. Those things take 5 minutes. They should have been done for the photos.
5> Professional photographers usually would have lit the fireplace for the photo. Makes a difference.
6> No photo of the backyard? I see the one of the garages and the deck, but one with the backyard and some of the deck adds to the "lifestyle" of the house.
The original backyard photos looked great. Looking at this photo, the interstate doesn't seem to be an obvious issue.
- Real Estate Agent · Nashville, TN · Member since 2015 · 2k+ posts · 2k+ votes9y
I think it really just comes down to price and the market has spoken
It does back up to I65 which is one of the busiest interstates in the Nashville area. That is not desirable but it does not mean that someone wont buy the house. Every house can sell it's just a question of what price it will sell for.
I think the finishes you picked for the bathrooms are not something I would want if I'm paying half a mil for a house. At least that's what it looks like in the pictures-I could be wrong.
You guys paid $340k for the house and in my honest and humble opinion I think that's pretty close to the ARV for that house/location.
I'm building a brand new house kind of close to that location and it's going to be listed $100k less than your current list price.
Again, it comes down to price. The market decides what your house is worth.
Just my 2cents
- Investor · Nashville, TN · Member since 2015 · 688 posts · 607 votes9y
- Blow the wall out between the dining and family - you currently have a choppy plan
- Not enough windows or lighting
- Windows - a lot of small windows and not enough in bedrooms. Either create more OR
- Lighting - 4 cans in every room
- Literally zero lights in the family
- 2 cans in the kitchen
- Zero cans in bedrooms
- Scrap the vanity tops - replace with quartz
- Paint window trims
- replace lighting switches
- If you can - get rid of the tile in the cave shower, that's very old school looking
- Where's the backyard pics??????
- fence it in
- create a fire pit
Changes I would make now and then re-list it for more
Things you can't fix but for next time
- You need vaulted ceilings!!! 7.5-8 ft ceilings don't cut it anymore
- trim needs to be 6 inches tall on baseboards
- don't buy next to an interstate
I have sold next to interstates and railroads. You just have to make the home BA!
If you can see the interstate, plant full grown bamboo trees or something to block it
- 9yBill SchrimpfBusiness MemberReal Estate Agent · Reno, NV · Member since 2014 · 349 posts · 189 votes
@Hannah Stephenson I don't know the area at all, I've never even been to Tennessee but it looks like your overpriced about $40k. It looks like you lost money when you purchased the home, (making $ is more about how you buy than how you sell) or you "over rehabbed" it. The pictures look great, nicely staged all that stuff looks good but COMPS don't pan out. It probably wont appraise and that eliminates any buyers that would need financing.
If you can get a GREAT Realtor engaged, and he/she thinks you can get close to $500k it might be worth having it officially appraised with that GREAT Realtor's help. Having an official appraisal would help support a high sales price, if you can get it. Its a long shot because buyers ultimately decide the price.
Another way to minimize your losses might be a lease to own or carry back depending on the terms. You might be able to break even on your monthly payments...
As a Realtor, I get access to tool similar Zillow but generally more accurate and it estimates that home to be ~$461k.
ERA Realty Central - Bill Schrimpf58 Reviews - Investor · Scottsdale, AZ · Member since 2016 · 1k+ posts · 885 votes9y
@Hannah Stephenson If you are at the "break even" point - sell it on Owner Financing or Lease Option with $50,000 down - no bank needed. Dump the real estate agent - you don't need one for this type of sale. You then get some money out of the deal and someone gets a nicely renovated house. If more details are needed, let me know. This one is a "no brainer" for me.
- Real Estate Agent · Buena Park, CA · Member since 2016 · 743 posts · 424 votes9yThe major Hwy with truck noise isn't your only problem.There is a huge railroad yard on the other side of the Hwy and the noise at night must be enormous when combined with the Hwy.Combine that with being on the market for 6 months and dramatic price drops and you have got a perfect storm of trouble.People and their agents are waiting you out hoping you're going to drop the price down closer to $300k before they start offering a price you might accept.I'm really sorry and hope you get this sold soon.
- 9yPatti RobertsonBusiness MemberProperty Manager · Virginia Beach, VA · Member since 2016 · 2k+ posts · 2k+ votes
I agree with all the comments above. The photos are pretty awful. Look at the lighting in the before pics from when you bought it vs yours. The before pics look brighter, warmer, more inviting - just because of the lighting. It's August. Clearly you listed before spring, but the agent never updated the listing with a green grass photo. Take one now so you can use it to market in the winter months! The floors started gorgeous too but you covered them all up with carpets. I hate that you painted the brick. Personally I much prefer your before photo. The stager I use does a FULL stage - including wall are and curtains. Your staging is OK, but doesn't look warm or make your photos pop. Who provided the photos? (My stager gives me mine - and a real video.) Your first photo - if your MLS allows it - should be the kitchen pic. Show a photo worthy of your price point. Having a bathroom pic with the toilet seat up drives me crazy. The agent should know better.
This is your opening marketing comment - "One of the lowest priced homes (and newly renovated) in the Percy Priest school district!" Walmart competes on price. You should be focused on features for a high end flip.
If you are going to rent it put a 30 fixed mortgage on it and plan to hold it a while. The market isn't increasing, and you will end up having to re-rehab it again when the market turns. Ask me how I know. ;) Been here, done this, at the last market peak. My second flip ever in 2007, we bought too high, used the wrong contractor, paid too much for the rehab, and went to market during thr drop. Rather than take a huge loss that year, we rented it until this year, sometimes for the mortgage amount, but usually at a loss of about $300/month. Fortunately this has been our only accidental rental. (Technically we had two others, but they meet our rental model, so I'm not counting them as mistakes.) At each tenant turn we evaluated the market and this year was the year to sell. We sold that baby after 10 years and three rehabs! The first one is obvious. We did a second rehab due to a steam leak in the wall that created a mold issue and a major insurance claim. The last one was to spiff it up to sell it this year.
Chalk this one up to education. It's the best way to learn. Don't let this halt your rehabbing. Use what you learned to improve. Do consider evaluating your team though. Study everyone else's flips in your market. Who has the lowest days on market with the best margins? Replicate what they are doing rehab and finish wise, and use their agent and stager.
You were brave to share! Thanks for doing so!
- Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes9y
I didn't see the before photo of the front, but honestly I like the before better. Looks like it is a neighborhood of brick homes. I think painting it and removing the bushes was the wrong thing to do. The house looked warm and welcoming before, and the new look is cold and industrial. Not sure what you can do at this point except lower the price and try and sel quick.
- Goodlettsville, TN · Member since 2017 · 15 posts · 11 votes9y
I live in the Nashville area and the issue with certain areas is how defined neighborhoods are. Say your house, it's maybe 1/4 mile from Franklin Rd. That road is the hard line border. Anything west of it is gold, anything east of it even a block or two is worth a fraction of a home inside the boundary.
School zoning is almost a non-factor in Nashville due to bussing and the fact most people who can go with private schools or their kids qualify for magnate schools.
Nice home but being ever so slightly outside the razor sharp defined high $ zone and up against that interstate is killing you IMO.
- Rental Property Investor · Cleveland, TN · Member since 2015 · 54 posts · 27 votes9y
A lot of good comments and feedback here. I hope you get some offers soon. Have you tried advertising it in the Facebook Buy, Sell, or Trade groups. We've rented all of our houses in less than 24 hours there, but they are much lower priced and a different market.
I really like your virtual tour, what equipment and software did you use? I'd like to use it on my rentals if its not to prohibitively expensive.
- Member since 2018 · 12 posts · 0 votes7y
@Hannah Stephenson I’m having a similar issue how were u able to sell
- WorldWide · Member since 2016 · 1k+ posts · 1k+ votes7y
Originally posted by @Hannah Stephenson:
I really appreciate all the feedback. Here is a link to the listing just to take a look at the pictures and location:
looks like it sold by lowering the price to $450k.
- Florissant, MO · Member since 2018 · 23 posts · 5 votes7y
Just as an additional 2 cents. The photos give the place a claustrophobic feel. still, I can see that you sold it after all! What did the buyers say about the place? What were their concerns?
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