Basic wholesale concern , help ?

3 Replies

I’m wondering what’s the best way to know how much you should buy a property. For example, My market is usually in the high 500k.
How can I determine how much I should buy the property for cash. What’s recommendations do you advice for me to value a house to be able to negotiate with seller and make profit .

@Cristian Alcaraz To wholesale?  You need to know what your buyers will buy at--your serious buyers, not tire kickers.  I think wholesalers who do a lot of deals have identified buyers that will pay a little more than the average cash buyer.  There was a wholesaler on a  BP podcast--I forget which one--where a wholesaler said he had a buyer who would pay 80 cents on the dollar all day long, where most buyers would want to pay no more than 70 cents on the dollar. 

Originally posted by @Larry T. :

@Cristian Alcaraz To wholesale?  You need to know what your buyers will buy at--your serious buyers, not tire kickers.  I think wholesalers who do a lot of deals have identified buyers that will pay a little more than the average cash buyer.  There was a wholesaler on a  BP podcast--I forget which one--where a wholesaler said he had a buyer who would pay 80 cents on the dollar all day long, where most buyers would want to pay no more than 70 cents on the dollar. 

Well since im fairly new to the industry im still trying to get a house under contract to whole sale , which is why im concerned when i do find a motivated seller i wont know exactly how much to buy the property for or negotiate the final price for it. So im wondering if there is any good way or system to that i can learn to Value a home when i do get a motivated seller.

Offer 60-65% ARV and go up from there...I never calculate repairs I just go in low and sometimes pay up to 75-78% just depends on the deal and area

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