Advice/Need guidance
Okay BP...
Just talked to my first seller today. He owns a vacant property that needs a ton of work. After speaking with him he definitely seems eager to get rid of the property, he owes 3 years of back taxes on the property and after talking to the tax accessor they will be foreclosing in May. When I asked, "How much were you thinking of selling the property for?" He said he wasn't sure and wanted me to come up with some numbers. He told me he knew that the property would need a lot in repairs (which I already knew). I told him that the back taxes would be a big part of my total offer which he seemed fine with.
I have seen the property, there are holes in the roof, all the windows are busted out, mold, kitchen is not too bad but the bathrooms are going to need to be redone, etc. I believe it will be a total renovation so my partner and I are assuming a huge number of repair costs... (Approx. $100k)
Would it be a good idea to bring a contractor out to take a look at the place to give me an actual bid? Should I just assume with a total renovation that even if I overshoot the repair costs it's okay because that improves the flippers profit?
Side note, I was told by the city that they work with investors and Lowes to reduce repair costs, offer grants and can even help sell the property to retired veterans.
What is my next best course of action? I could use all the help I can get!!