Is this a good deal/offer
I found a motivated seller on craigslist for a townhouse in my area. It's a 3BR, 2.5BA, End Unit,1440-sf, built in 2002 and has HOA of $45/month. It is currently being rented out on a month to month basis for $645 which is about $100 lower than its comps. This is a FSBO and they have it listed for $63,500 which is about market value. They said they are motivated because they have bought a single family home and outgrew this one and would like to sell ASAP.
This would be my first deal so I still have a lot of questions. I did the formula that Sean Terry has talked about on his podcast ARV x 70% = end buyer price. So in this case 63,500 x .7 = 44,450 would be the end buyer price. So if I could negotiate the price with them to around 40,000 would that be worth going after?
Again I am new all this and this would be my first deal. Any advice or input would be great.