Hey guys,
Bear with me as I’m very new to this. If I buy a property via a short sale and get a very good deal on it and it needs less than 5-7k in repairs, what do I need to get in line in order to try and sell it for retail?
I have extensive construction experience and could probably fix most of these things on my own and have it on the market in 4-6 weeks.
How do I figure in holding costs? What do holding costs consist of? What % do you guys offer to an agent for selling the prop?
Thanks.
Holding costs normally consist of everything to require and move the property:
Taxes (annual taxes prorated for the holding period)
Insurance (for the holding period but often for 6 months)
Utilities (gas, electric, water, trash, etc.)
Realtor or other Marketing costs
Closing costs
Others will add to this list, of this I am sure…
Keith
Others:
Add that with Kdhastedt and you pretty much have a good list of holding costs.
The only nit picking issue I would have is that I don’t group realtor / marketing / and closing costs along with holding costs.