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Park Place Home Sale Woes - All ideas welconed!

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I am trying to sell my parents home on River Drive in Park Place. HCFCD ( flood control) owns part of the land of the house it's on and that's called an encroachment. We pay them rent for the land and I guess that part of the house every year. So before I try to go salad I approach them first I asked him if they'd like to buy the whole parcel of land 1.12 acres and the house. They say no. Then I get a second survey because they wanted the first survey to see what I own so I got a second survey to see what they owned and asked if I could buy them out. Again - no. So the house has been on the market since April and we've had no serious offers. We I have been trying to have it appraised and can't find anyone willing to do so after they hear what the situation is. I need somebody who is removed from the situation to think outside the box for me. This is 1.12 acres of land right off the freeway and they have could be remodeled and be in coaching parts demolished and it was to be a nice house although it would be 2 bedroom 1 bath. My realtor has about giving up any is ready to be released me from the contract all I have to do is givie him the word. I thank I had a price too low which is why I need to get an appraisal but again can't find an appraiser. If there are a lot of typos in this please forgive me I am using my voice recognition software on my Android phone otherwise this would have taken me a year. Thanks for reading and if anyone has any ideas I'll listen to anything thanks a bunch.

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