I am an aspiring wholesaler and I am trying to get a grasp of the business. So I am wondering what investors are looking for--- To the investors out there, what are some of your criteria for properties that you would gladly buy from a wholesaler in terms of numbers ( asking price, ARV, ROI, etc.)?
This is hard to answer without knowing the area. Purchase price is generally at least 75-80% of ARV minus the repair costs. That leaves room for profit and any unforeseen expenses. ROI, CoC, Cap Rate, etc. all depend on the area and type of REI. Higher end rentals for example have a lower ROI but usually less work on the tenant management side. A C class neighborhood generally will have a much higher ROI and CoC minimum to cover the additional risk and management headaches.
I have had buyers renting 2/1 in the ghetto making 10% CAP and buying up anything that has a solid structure. Then I have guys that only deal in 3/2 in a B area with at least 1k Sq feet. Most fix and flip guys want a 40k spread to buy. I mean really a deal is in the eye of the buyer.