What is the fix and flip buy formula in your market?

Ok, @Jerryll Noorden, You know I love you and want to have your babies, but come on. Once you're in negotiations with the seller and the buyer, you can afford to approximate. Besides, what are your holding costs. If you're wholesaling, you can only estimate that. how long will it take for someone else to do the rehab. Duh... it depends on the rehabber! You're doing 22% plus a bunch of other stuff that will probably come in somewhere in the neighborhood of 30% once it's all said and done. Not including repair costs, of course. And even those depend on who is doing the repairs. After all, one rehabber may do different things and do them differently, and have different costs on how they do those things. Now... as a REHABBER, you are 100% correct. You need to know your costs, and you need to know them well. If a wholesaler brings you a deal, you have to take their numbers as ballpark estimates and do your own DD. Is the honeymoon over before it's begun? 😢

@Lee Yang The standard formula works around here. (ARV * 70%) - Repairs - Wholesale Fee. Some people I know vary on the 70%. Some higher and some lower. Lately it's been a little lower for some, but not as a rule. It all depends on the buyer and what they're looking for.

I use 10% - 15% minimum of ARV after all my costs are taken out.

Can you imagine those babies? OMG!!!

Berry. I am going to disown you!! Here is the formula. ARV - (7%-15%)ARV - holding costs - Repair Costs - Taxes - ANY other possible Costs - Your Profits - Agents fees - Selling Costs = your offer. There is no shortcut. There is no 70% rule (BERRY!!!!!) If you want to be an investor, be a friggin investor. If you want to play real estate investor... don't bother, it will violate you up your regins the sun don't shine. Know your numbers, no your repair costs no your market, know EVERYTHING. Otherwise you will lose and people like me will beat you every single time competing against you! PERIOD!

What is the Fix & Flip Buy Formula in your market? What is the Fix & Flip Buy Formula in your market?

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What is the Fix & Flip Buy Formula in your market?

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