Profit Margins and Higher End Rehabs
Good morning all. we rehab in the 500K arv and below range and also wholesale when we have our hands full. Recently we've been wholesaling in the higher price range. We're talking about those priced at 700 k plus. My question - is a rehabber still following the 70 percent rule on the higher end rehabs? I know that we do in our price range but my thinking is that on a higher end rehab that may not be happening. In other words if I have a property that retails at 760k and it requires 75k rehab I would think that a rehabber would pay more than 453k. I would think he/she would be happy making 150k and therefore be willing to pay 535k. Your thoughts?
