I tried to post a quick reply on my original thread, but it kept highlighting my words, so I had to start a new topic.
Well, the seller (the wife) called me this morning, saying that they are ready to lower their price. I did my due diligence (again) and ran the numbers on the property. Now, that I have spoken with my buyer, I know that he would buy this property at 70% even though it is an undesirable 2/1. The ARV has changed (depreciated by $10,000) on Redfin (which gave really accurate comps-I could not find any others within 1 mile). Zillow, however, had its' "Zestimate" a lot higher! Now, I know that Zillow can be wrong, and I have done my own research, so I will go with that. The home now has an ARV of $87,166 based on comps in the area. One home in particular that is very close, just sold 2 months ago, for $87K. So, this has me wondering(fear-again), will the owners be offended if I offer $41,016? This is based on the 70% formula of course. Again, they have done their own renovations in the home. It is rental ready. However, the backyard is another story. Needs reseeding, landscaping etc.., Sorry this is so long...I really would love to hear from the seasoned investors on BP! Thank you (again) for the help!
It just occurred to me that it might be helpful to provide a link to the original post! http://www.biggerpockets.com/forums/93/topics/126655-making-offers-on-property-sight-unseen
Is this house listed with a Realtor? If so, how long, and what price?
@Bryan L. No, they did not want to list with a realtor. They just want to be rid of it.
Honestly, out of all the properties we've bought and sold, it's really come down to this: It's a numbers game.
There are many good deals out there, do we get them all? Of course not. Do people get offended at our offers? Every day!
If you play the numbers, there will be a time when someone says "yes, I can do it for that much". Happens on a daily basis.
Never take it personal if your offer gets rejected. Move on to other deals.
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing