All Forum Posts by: Jaxon Vernon

Hello BP, 

Long time reader and listener. I'm seeking some advice from those who may have found themselves in my situation before or something similar. 

In July I purchased a 1 bed, 1.5 bath condo in the town I currently live. Long story short I made a lot of mistakes, first being not managing my contractor well. We are now ready to sell. It was purchased on a HELOC which now sits at 9% interest only. Comps looked good in the summer, but as you all know the market has shifted, we came in over budget, and took about twice as long as we need to. Many many mistakes but it has been a great learning experience.

PP: 207k 

Rehab: 50k

Comps selling for right around 250k 

Heloc payment is $1650 interest only and HOA is $183/month

I'm exploring options to minimize my losses. Would you: 

1- Sell at whatever market value is and be done with this one? This looks like we would loose about 10-20k after everything is said and done. 

2- Go to a bank and get long term 15-30 year financing at a cheaper interest rate? It still wouldn't cashflow but maybe I would be paying into some equity. 

3- Figure out how to nightly rent it (good area for nightly rentals), do that until summer and hopefully make back some our losses and then list again? Nightly rentals aren't allowed in this area but there are ways around it as I'm sure you all know. Not the best option I'm sure. 

Any advice from those with more experience is appreciated! Thank you.