How do I make this wholesale deal work? MFH in NJ
Hello everyone!
I recently sent out my first direct mail campaign. I chose one town nearby my house and identified both SFH and MFH that were distressed. I sent a batch of 25 letters and got one response back already. Very exciting! Next batch going out this week, I am handwriting these so it takes some time.
I spoke to the lead on the phone and gathered this information :
Multifamily home in South Jersey
Rents are avg $900 but are under market by at least $200.
2BR/1BA x 2
1BR / 1BA + "Bonus Room x 2
Total 6 BR 4BA
Property is submetered and was built in 1900. (Typical for the area)
Reason for selling : he has a full time job and doesn't want to have to dedicate time to it anymore. He also lets his brother manage the building in exchange for free rent.
The seller was not willing to give a ballpark range of what he thought it was worth. I froze up since this was my first call with a seller, and told him that I'll look over the info he shared and give him a call tomorrow.
Based on the info I gathered, do you think this seller is motivated enough to sell at a discount?
MFHs are very hard to find in the area, so I wonder if that would allow me to still be able to assign it even if the discount is lower than anticipated.