Hey everyone I have a offer of 25000 that was accepted and it’s not in the greatest area the few houses around it seem fine but after you go down the next block it doesn’t feel so safe. The rent is around 600-650, there are no recent comps for what it will be worth but a house down the street has a zestimate (I know it’s not accurate) or 75k and that’s what the wholesaler thinks it’d be worth after repairs. I think it will cost about 25k to complete project (I’ve never done one before but that’s what I estimated using a repair calc I made.) I’d be all in for about 50k and I think it’ll take 2-3 months to finish repairs since it’ll be my first time working with a gc. I’m unsure about the and the location arv so was wondering what y’all thought about this deal. it’s in Spartanburg sc.
@Jefferey Chheuy Why not ask a realtor to actually pull some real comps? Also, pick up the phone and call some property management companies on their opinion for what it could currently rent for and what it could potentially rent for?
Hey Zach thanks for the quick response! I’m going to try that now!
@Jefferey Chheuy run. You can't move the property to a nice area.
With rents in that range you'll never make any real money renting it and with it being a rough area, it's hard to find anyone qualified that will want to buy it.
You could try to owner finance it to someone or run. Unless you have a lot of experience with this I would run...
Thanks Cameron and Zach took your advice and will hold off for the next one. My realtor and pm also didn’t think 75k would be appraised, so I think I made the right choice.
I've been looking in Spartanburg for quite a while and have a decent feel for the area. If you'd like to DM me, I can get eyes on it as well and give you my two cents. Spartanburg is very hit or miss. Got to be careful around some parts.
@Jefferey Chheuy I would be curious if the property as well. Spartanburg is my home and I’ve done a ton here. Message me the address and I’ll give you my opinion as well.