All Forum Posts by: Astrid Van Boom

Hi Rosalyn

Welcome:)  The best site to learn and reach out to other investors, etc.

H1 Rosalyn

Welcome:)  The best site to learn and reach out to other investors, etc.

Thanks Ken

Can I ask you how did you calculate the gross profit(before any deductions), net profit(after all deductions)? As well as the ROI? Was that 30% of ARV. How do you do your calculations(minus, multiply, additions). Are you able to break the above calculations down for me please?

My REA got back to me up about questions I had concerning removable/clearing of rubble round the house and basement/workshop. Moving location of toilet, as in front/very close to shower door. Unable to, small bathroom.Walls are painted white, but couldn't see as there is no ceiling light fixtures or fans. She suggested carpets in bathroom and laundry be replaced with tiles. Carpets in living area and bedrooms with hardwood floor. Kitchen wall replaced by bar/open counter area. So it seems as if there is still a few things to be done that can/will push up estimated repair cost. In spite of other repairs having been done.  Take note of what you said about repair cost and motivation.  Apparently they won't go for less than $80,000.

Hi

I am doing all the above, but my MAO to buyer always come way less than the Asking price. Looking at a property now of which Asking price is $128,000, after rehab, which is currently being done. Minor rehab still to be done. Comps, show ARV is $120,328 x 70% = $84,220(all in cost for end buyer). If I deduct minimum repair cost of $10/sqft (1,352 sqft) = $70,700(offer to end buyer) - $5,000(fee) = $65,700(MAO to seller).

Is this correct? Most of rehab has already been done therefore doing $10/sqft for repairs(light fixtures, ceiling fans, painting of interior walls). Or is it at times not even necessary to calculate rehab costs. Know that with a turn-key property you might not have to have it done.

At loggerheads as all offers have thus far been declined, because of this?

Any input will really be appreciated.

*Mortgage is $88,000 outstanding, so no equity.

Thanks Bill. Just needed some confirmation, as I have told my realtor that comps on there is not really suitable comps.  Just also wondering about changing realtors. I am doing wholesaling/assignment of contract which would mean I am looking at houses that need some kind of rehab. However, I often get send turnkey properties, that I don't see how I can flip them without no money down.

Thank you very much for your insight Kristine. At least I am on the right track. Just can't get a seller to accept my offer. Using 70% rule, but even if the ARV is higher than the Asking price, somehow my calculations are still below Asking price. Using $10.sqft(light), $15/sqft(bad), $20.sqft(really bad)and $30/sqft for awful as criteria.

Hi

Is the CMA your agent sends you the most accurate to use to determine ARV of a property? My agent sends me CMA's, which I also compare with comps I find on Zillow, ect, Have found that the list on CMA is not really an accurate indication of my property's ARV, For example, my property might be 1 story, 3 beds, 2 bath, brick, etc. and CMA have some with 2 story, alumin/vinyl, etc. Very different from mine. Some CMA have a very long list to sort through if that needs/should to be done, to determine ARV.

Thanks

Hi, a question regarding CMA agent sends you. Is their CMA the most accurate to go by to use to formulate a deal/ARV? Doing my own due diligence/looking on Zillow,Trulia, etc, for comps, but see that some of the properties criteria on CMA are very different from the one I am looking at: SQFT, 2 story instead of 1 story, etc.

Thanks for the insights everyone.

Thanks Dion. That is an awesome layout of wholesaling property with little or no equity. Just by looking at properties' details on Zillow and Trulia, which my REA sents me, most of them still owes 70k plus on their mortgage. Shall I let my REA know/tell her that I'm looking for properties with more equity? What about areas that is transitional, where prices/value of houses might go up?