Establishing Your Max Allowable Offer
Hello BP Members,
Currently I am looking to start wholesaling in the Sacramento, CA area and was wondering does anyone know what the investor discount is there? I know a good baseline in determining your MAO is by using the formula MAO = (ARV x Investor Discount) - Repairs -Closing Cost - Assignment Fee. I know that in some markets the investor discount is around 25% or .75. However, this is subject to change depending on which market you operate in. For example i'm sure all would agree that the investor discount in San Francisco is a whopping 0% haha. Any insights or suggestions will be much appreciated.
Thanks,
Daniel