1) Hire a REALTORÂ® to assist you with both sides of the transaction and split the cost.
2) Negotiate an appropriate price. Be realistic, sell the house for the same thing you would expect a stranger to pay. If you cut your price (because it's family), you will resent it. If you want to "give them a break" because they're family, do something nice after the sale, or help them with the downpayment. Once they buy the house it should be theirs, free and clear of any guilt trips.
3) Suggest that the buyer look into 203K financing. 203K's allow the buyer to borrow the money they need for repairs too. If you are expecting them to do the repairs, expect them to pay less. That's how it would work if they weren't family.
4) If they can't buy the house without the price being rock bottom, then don't sell it to them right now. Offer to let them lease it. They could do the repairs, live in it, and a portion of their rent (plus the cost of repairs) could be applied to their "downpayment". Agree on the price and conditions before they move in, put it all in writing, and stick to the plan. If they back out down the road, the money spent is forfeit (just like rent).
Your NC REALTORÂ®
Wilkinson & Associates