Property analysis critique please
I am currently looking at a triplex in town. The seller is asking 99K. 2 units are 1/1 and renting at 450 a piece. The main house is an 1100sf 2/1 that I'd like to make a 3/1. If I can make a 3/1 I am confident I can get 1100 a month in this area. My agent has a market analysis advising the ARV as a 2/1 is 132K. Here is my idea but I would like your feedback as I may be pushing too hard and getting emotionally attached:
1. Offer 90K. The owner is an agent and when he showed me the property he was adamant he wouldn't budge too much and he'd already turned down a cash offer at 85K.
2. Secure a hard money loan for 105K to buy and put 15K into foundation work (pier and beam leveling) and framing the 3rd bedroom. I will do all other interior/exterior work myself.
3. Refinance out at 75% ARV (105K) leaving me with closing costs out of pocket and recouping my down payment.
I'd love to hear anyone else's analysis. I'd also love to hear recommendations on resources. I applied for hard money with wildcat lending and have been working with prime lending in San Antonio for the refinance after.
I'm not sure what the etiquette is on here but if anyone wants to direct message me and discuss the specific property let me know. Is it bad form to post on here?
Thanks in advance.
Rick