I'm a new investor and I'm working on my very first deal that was damaged by Hurricane Harvey. The seller is asking $750K, wants a 10 day feasibility study, and wants a 5 day close. The property is vacant and the owner doesn't know what he wants to do with it just yet. The property needs to be completely gutted. His lowest ask price is $750K but the comps are running around $290K-$300K. The retail value of the homes pre-harvey were no where near his ask (around low $400's) Can someone please provide advice on how to value post Harvey properties? Also, is a wholesale strategy the only thing you can do in this scenario?
Huh? Why do you think you can “wholesale” a house for $750 that’s worth $300 after you rehab it?
This is Obviously not a “deal”.
Its not worth 750K, the seller is ASKING for that amount. It's worth about $300K where I believe I can get it around $120K based on comps. The seller won't budge on that asking price but has not lived in his home since Harvey. I guess he is not motivated enough.