Real estate can be a great investment, and you’ve probably heard that there’s the potential to make a lot of money by buying and repairing inexpensive properties and flipping them for a higher price – or keeping them as rentals – especially in Detroit. That’s true!
But, like with all investments, a positive return is not guaranteed. You (and your bank account) are at the mercy of the fluctuating market, which is only somewhat predictable. In other words, sometimes real estate investing doesn’t feel like everything it was cracked up to be.
For example, if you buy a home to fix-and-flip and then the market slumps, you might find it pretty difficult to sell at a profit. You could not only lose the money you put into the fixer-upper, but your valuable time and energy as well.
Or maybe you end up with destructive or negligent tenants in a rental property who do a lot of expensive damage.
Whatever your reason for feeling disillusioned by real estate investing, you definitely wouldn’t be the first Michigander to experience this. Like they say: If it were easy, everyone would do it!
So here’s a quick list of exit strategies to free yourself from a less-than-profitable investment property:
Live in the House
If the home is still in decent shape and you don’t want to have to manage it as an investment property, then you might consider moving into it. As a primary residence, there are no worries about selling it for a profit or finding good tenants. This only works if your current home is more sellable, or you are currently renting yourself.
Rent It Out
If you were planning to flip a house but the market took a downturn after you fixed it up, one solution is to rent it out. This means you won’t make your money back immediately… It will take a while for those rent payments to catch up to your investment. But as long as your tenants are respectful, the house can still be sold once the market recovers.
Sell to a Professional Homebuyer
If you want to make a quick, clean break from the situation – even if renters have trashed your property – consider selling to a professional home buyer like us over at Mitten Made Properties. We can make you a fair cash offer, buy your home completely as-is for cash, and we’ll even pay all closing costs. Bonus: We can do all this in as little as two weeks. So save time, save your sanity… Give us a call at (248) 883-3340 to find out how we can help.