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Antonio Bodley
  • AL
29
Votes |
514
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Offer price is more than asking price.

Antonio Bodley
  • AL
Posted

Is it possible I can get a home under contract without using the MAO calculation? I was looking at homes from motivated sellers where their asking prices are lower than the MAO I was going to use. If that is the case, how would the deal work out where I have to figure in repair costs without using ARV x % - repairs = maximum allowable offer?

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Jake Kucheck
  • Residential Real Estate Agent
  • Costa Mesa, CA
380
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Jake Kucheck
  • Residential Real Estate Agent
  • Costa Mesa, CA
Replied

It's possible that the list price is below your max offer price, but it's a lot more likely that you are either overestimating your exit value or underestimating repairs (or both).

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