Hello BP community, I’m a newbie so bare with me... I’m finding distressed properties with motivated sellers but these properties rehab expense will cost more than the ARV!
For example I can get a seller to come down to $5,000 for the property but the repairs can easily be a 30-45k rehab meanwhile the ARV is only 30-35k.
Any advice right now will be helpful, My role in this deal is to be the wholesaler I need to make sure that there is profit for me and the cash buyer. Thanks for the advice!
At those prices, my advice would be to look at higher priced properties. Find a property for 35k, that needs 15-20k in work and has an ARV Of 70k
You simply can't flip a house with that low of an ARV that needs that much work. As stated above, need to find more expensive houses.
well now you see why the seller is motivated lol...
Sounds like that defeats the whole purpose. If the ARV is not there, how will 2 people profit? Hold out until you find a better deal with more profit potential.
sometimes empty lots are meant to be....
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing