I went to see a motivated seller yesterday. The home is for sale for $219,000. It's a Duplex, and I can tell you right off the bat, it's in great condition, just needs cosmetics such as upgrading of the kitchen, and two rooms need carpet removal and new floors. Maybe a bathroom upgrade, if we're being picky.
He had a buyer who backed out the day before closing, they were distraught (motivation). This was six months ago, his wife has yet to unpack their boxes because she is not motivated to unpack, and then pack again (more motivation). He needs to go to India to work overseas (another motivation), and the reason for selling is his kids moved out and he wants to downgrade to a smaller home.
My question is, with the very minor updating that it needs, he said the absolute lowest he would take the cash offer would be $209,000. I know I can talk him into the high $180,000-200,000, easily. My question is how can I wholesale a home that isn't distressed? Who would my buyer be, someone who only invests $5-10,000 in upgrading?
The ARV is $221,600. Very nice neighborhood, like I said he's motivated but I don't know how to go about this situation.
@Merari Alfaro I would target buy and hold investors looking for a long term play. There is not enough spread for someone to invest to try and flip. I might be interested if the numbers work :) Just wondering what the rent would be for each side.
I am down in South Florida where duplexes start at 300+ and don't cash flow. Feel free to send me a DM
I'm just not seeing enough spread between ARV and what you could potentially get it under contract for. I assume you want a piece for yourself, that would leave the buyer essentially paying retail which they're unlikely to do from a wholesaler. Did you learn why the original buyer backed out? ie, do they know something you don't?