"I was going to let you stay, but I can't in good conscience reward that face Grace just made. Get out."
There was a time when Hope was actually hoping the outcome would be secretly setting up the room in Sarah's closet. This was a very impractical idea (in-universe), and it wound up being out of character for it to be something Hope would suggest. Due to the in-universe impracticality, the end result would have still been her seeing about staying at Tedd's house.
Nonetheless, know that there's a version of this in which Hope asks to crash in Sarah's closet.