As we our all aware sellers markets aren’t as favorable at this very moment. I currently have a flip sitting on the market for almost 2 months we have done some pricing corrections but no bites yet . What is the best exit strategy to stop the bleeding in this market ?
Lender · Metro Detroit · Member since 2024 · 22 posts · 6 votes
13h
I think one of the biggest things is having a backup strategy before you ever get into the flip. If it’s been sitting for almost two months with price reductions and still no bites, I’d start looking at whether the numbers make sense to pivot rather than continuing to carry the property.
If the property works as a rental, converting it to a DSCR loan and renting it out could be a good way to stop the monthly bleeding while you wait for the market to improve. Sometimes the best exit isn't forcing a sale in a slower market—it's turning the property into an income-producing asset and letting the rent work for you.
That’s definitely something I’d look at before taking a bigger loss just to get it sold.
Rental Property Investor · Indianapolis, IN · Member since 2018 · 4k+ posts · 4k+ votes
19h
Rent it out.
You can get between $1300-1900 per month in C-B class neighborhoods depending on bedroom count. If it's fully remodeled you'll be on the high end. Rental demand is high. Less people can afford or are willing to buy at 7%+ rates.
Real Estate Agent · Columbus OH · Member since 2018 · 1k+ posts · 1k+ votes
19h
rent it, or figure out the main issue, is it price, or is there something "weird" about the home or design that is keeping it stagnant? for instance is there no off street parking in an area that people generally need or want off street parking? not sure of your situation or market specifically but finding out the real issue if there is one is generally what lets you move forward in the clearest way, but yes if you can't sell and aren't interested in dropping the price to where it will sell then rent it long term or medium term is likely the best angle till you can figure out how to sell.
Lender · Metro Detroit · Member since 2024 · 22 posts · 6 votes
13h
I think one of the biggest things is having a backup strategy before you ever get into the flip. If it’s been sitting for almost two months with price reductions and still no bites, I’d start looking at whether the numbers make sense to pivot rather than continuing to carry the property.
If the property works as a rental, converting it to a DSCR loan and renting it out could be a good way to stop the monthly bleeding while you wait for the market to improve. Sometimes the best exit isn't forcing a sale in a slower market—it's turning the property into an income-producing asset and letting the rent work for you.
That’s definitely something I’d look at before taking a bigger loss just to get it sold.