If your situation is such that you can hold on to the property, you might be better to hold off when prices start to appreciate again and new construction starts to rebound. If a builder is ineterested now in a down economy, another builder will be interested when the market returns and demand is higher. However, if the property is a burden with upkeep (both interior and exterior) then you have to weigh the expenses of upkeep and property taxes (carrying costs) versus taking the money now and be free of the burden of repairs and upkeep.
Ultimately, the decision is yours to make, but make the decision based on facts so you know you did the best that could be had.
The best option will be to hire a Realtor or a professional appraiser to first determine the value of the home with the double lot or just the double lot before considering selling to the builder or putting it on the market.
Unless you feel very strongly that the home should remain on the property, it purely depends on which option offers the better price. I would be happy to offer my expertise in helping you determine the value of the single family home versus the value of the double lot (teardown).
Your timing is excellent. Call or email and I'll tell you why.
john greene, Realtor
Do you have an offer from a builder? If so, does the price satisfy you? Also, it might matter where your home is located. A family might love to have the double lot. Please let me know if I can help.
Charles Rutenberg Realty of IL