Updated about 9 years ago on . Most recent reply
HELP!!
Hi guys! Okay so I am a new wholesaler and I found a motivated seller today!! I got her to drop her price from 115 to 105k. This is my first time talking to a seller so I was pretty nervous. We scheduled a time for me to do a walk around the property. Then she mentioned that she is going to have her listing agent there as well. Should I be worried?
Most Popular Reply
Like Stephen said, you need to know the numbers you're working with. If the ARV is 150k, it won't even matter that your seller went down to 105k, since that's not a good deal. You'll need to do the following:
1. Figure out what the ARV is.
2. Extract as much info about the condition and expected repairs to the property so you'll have an idea if it's a full gut or a cosmetic rehab.
3. Go to your appointment and get plenty of photos and a video if possible (to show your buyers). Take a contract with you!
4. Use 70%ARV minus rehab cost to determine your MAO. Then offer a number below that. If they agree to something close to it, get them to sign the contract right there.
As for the listing agent, it sounds like this is on the MLS. For me, if something is on the MLS, I don't bother with it. They may have a problem with your assignment clause. But if you think you scored an amazing deal, I would double close or use transnational funding to close it yourself and then sell it.