I'd put a FSBO sign in the yard and let them come to me. Maybe send a letter to the companies that is generic and sounding like a marketing letter for the FSBO to say something like now offered FSBO and the normal stuff about the home.

I guess I always view it as me approaching somebody means they have the upper hand, vs. them wanting what I have if they come to me.

Why do you think they haven't approached you yet? What makes your property less desirable than the ones they already purchased? Or is it just a matter of them getting to you?

If they do knock on your door and you truly wish to sell, be realistic about what your property is worth. So many people think "ooooooh Developer, *cha ching*" only it doesn't exactly work that way. The developer has a budget, they know the amount they can pay and what it is worth to them to get the property, and they have a plan B, C & D in case they don't get the property they expressed interest in.

In other words, think of this as what it is; a business transaction.

Lyfia,
I know what you mean, but I don't want to put a FSBO sign in the yard and deal with actually selling to the general public. I would go with an agent in that case.

Xamsx, they aren't soliciting anyone, just buying them up as they become available. I am very realistic - I know I will only get market value. My house is actually one of the nicest ones on the street, especially inside. These guys are buying the homes and either tearing them down right away or renting until they are finished with the current build. They would have to do very little to mine in order to rent it - maybe paint my purple bedroom :)

The situation is that I just happened to have found a house that I am extremely interested in. I wasn't actively looking, just getting ideas of what might be out there and getting a feel for different neighborhoods. The house I found is the smallest house on a wonderful street in an historic area. Even at "smallest", it's nearly 1700sf, not really small to me! I would be thrilled to get into that neighborhood, and barring any major defects, I could afford the house. It's been on the market since September. The landscaping consists of 2 holly bushes, (this is on a 50 x 175' lot!!), and inside it needs the wood floors refinished and a new kitchen. The kitchen works, it's just ugly. I see so much potential in the yard and house itself, and as mentioned, the neighborhood is just wonderful.

I am hoping that selling to a speculator would be simple and fast, so I could grab this little gem.

Well if you got any other calls than the developer of your FSBO sign then just say it is pending and you can take their name and number and call back if that changes.

It is a matter of making your home appear available to the developer and have them contact you vs. the other way around or expect less than market value or what the others around you sold for to the developer. The developer knows you want to sell to them otherwise.

If you don't want a sign create a flier and mail to houses only that the developers own with a letter saying your are selling the house in the neighborhood and if any of your neighbors knows of anybody interested you've included a flier. Seems that way you mailed it to all neighbors, but you didn't.

If your house is one of the nicest on the street, that could be why you're not being contacted...

If you sell to a developer, it's the LOT you're selling, not the house. So you can't really expect to get a price that reflects the value of your nicer-than-average house -- only average price for the lot. And if you've got extensive landscaping, that could actually work against you for this particular type of buyer.

While I'd normally agree with Lyfia on her approach, I suspect that the developers would be more businesslike about it and would already be well aware of the approximate value of the lot and how much the other developers might and might not want another lot.

But I suspect you're right about a quicker close --

Sweeby, hehe - "nicest on the street" is a VERY relative term in this instance. I consider my house average, and many of the rest are just icky. :)

Here is

I bought it 2 1/2 years ago. Over time, the previous owner refaced the cabinets, put in a new (albeit very ugly hunter green) countertop, tiled the kitchen and dinette, and renovated the family room. (new drywall, recessed lighting and new laminate wood floor.) Very few of the other homes have been updated, so they vary from OK to pretty darned gross inside. Gross being a combination of not updated and abused. On the other hand, about 1/3 of the other homes' landscaping is nicer than mine. I only mentioned that mine was "one of the nicest" in regards to being able to rent it (while waiting to tear it down) with little work needed. They do rent fairly quickly, because they are in one of the top school districts. The other (and larger) homes that are not on these two weird little streets with these teeny homes start at $250K for old stock, up to $800K for new builds.

Bottom line is that I would be happy with the price the ones in the last 2 years have sold for, regardless that they were in much worse shape, inside and out, than mine.

Sweeby is right. It's your LOT we need to be talking about. The slightly higher rent your home might bring doesn't really enter into a developer's plans.

If you want to sell, let the developers all know you are interested. DO NOT reveal that you are anxious to buy another property. Just say that you've noticed the teardowns and are interested in knowing your property's worth. These developers may not be your only market. You could end up selling to an individual who wants to build a custom home on your lot. I'd do the FSBO sign and a small ad to reach a wider market.

Do you know what nearby lots have sold for recently? Are they comparable to yours in size and location? (I think yours looks lovely, with the mature trees.)

Chisue,
The amount of rent isn't the thought, it's the fact that they could rent it with very little pre-work. The other homes that have been bought by them and rented have needed quite a bit of cleaning/fixing/painting before they were decent enough to rent out. That takes time and $ for them. Mine would only really need the carpet cleaned and some inexpensive replacement blinds or shades. Oh, and the purple bedroom painted, although I could do that myself pretty easily.

There are 2 streets with these little homes. The lot sizes are nearly identical, 60'- 61' wide x 145' - 150' deep. Each street has 22 homes, 11 per side. Both streets are dead ends, and at the dead end is a walking/biking trail.

I know what every lot has sold for in the past 10 years, but really only pay attention to the last 2 years, focusing on the last 6 months. They have held at virtually the same price for 2 years, except for the most recent (sold 6/08) went for $23K more. Possibly because that one is right next to the walking trail, so that might be more desirable for the view and having only one neighbor. Although I would hope it's because the general prices are climbing :)

I don't think I made myself clear. Developers are in the business of *developing*. Most aren't interested in stockpiling land or paying interest on loans for any longer than it takes to build something, sell it, move on. That they could easily rent your house would not figure large in their decision to buy it.

It sounds like you know the values; that's good.

Weed, I would get a couple of realtors to do some comps so you know and have hard copy of these comps. I do not see anything wrong with approaching the developers if you are ready to make a move. Oh, I wouldn't let them know you have found a home you are interested in.

Chisue, thanks for the clarification. I just mentioned it because that is exactly what they have been doing - buying, then renting it out until they are ready to build. I know that's weird, but that is what I'm seeing. The house across the street has renters and a 'notice to build' sign went in the yard last week. (That's for anyone who wants to go to City Hall and complain about it ;)

So far, the time from the 'notice' sign to demo has been about 6 months - some longer. Prior to that, some of these homes have been owned by the speculator for 3 or 4 years. It is a very desirable area, and despite the market, there are always families who want to live here because of the location and school district. Maybe they are sitting on these houses until the normal market picks up. The homes they are building range from $470K - $600K.

eandhl,
I can ask my realtor to do that, but there is a real estate section on the St. Louis County website that gives you all the info: Owner & owner's address if different from the house address, lot size, # rooms, property sketch, condition, assessment amounts, taxes, sales dates and amounts, and more. It's really pretty amazing how much info the average person can get.

On another note, I went to show the house I want to a friend, and the for sale sign was gone. I had my realtor call, and the owner is changing realtors. According to the neighbors, the house has been empty for 2 years and on the market since 9/07. The bad part is that the owner is 'emotionally attached' to the property according to the listing agent, and turned down a 95% offer at some point. Although she had dropped the price by $21K before that offer came in.

Why not put in a contingent offer? At least you'll have right of first refusal should anyone else want the house too.

cocontom,
That's what I was thinking today.

I talked to a friend who is a developer, and he is going to do some research for me including more detailed information on the sales transactions in my area and also getting some additional names of speculators that might be interested. He saw no problem in me calling them, I just have to figure out a plausible answer if asked why I'm selling besides that I am hot for another house :)

My realtor found out that the house is going to be listed at 9K less when it goes back on the market, probably this week. So I guess this woman is more motivated than sentimental right now.

Tomorrow I will be on the phone checking on financing/loan commitment.

What's wrong with telling them you're hot for another house? :)
It's not the same as desperation if you'd already purchased another house, or are relocating, or are getting married and combining houses, or yours is in foreclosure. It's purely a want to sell, rather than need to sell, reason. They'll already know you want to sell when you call them.

I'd tell them you were hot for the cash if the price is right.
But seriously there is no need to get into the whys of moving (they don't really care), just let them know you are amenable to an offer.