I just got another lead that is a wholesale deal. The house is being offered at $39,700. The ARV is $105,00-$115,000. Repair estimate: $36,000 for quick retail sale. Profit margin in the $34,000 to $24,000 range is expected. By this being a wholesale deal, is there any need to negotiate any lower than the asking price using the wholesale formula? The asking price and the ARV sounds good as is to me. To make this just as good, the investor who sent me the wholesale lead said Comps came from MLS and CRS.
One more thing I was considering, does anyone know if those home buyer companies are good sources to use as buyers for wholesale deals? You know the ones that advertise they buy houses at any price, condition, or location. I don’t want to be bothered with them if they are like some company I knew of a while back. I contacted one of those We buy houses people through their website. Sure they advertised they buy houses at any price, condition, and location. Once I contacted them about some leads I thought they may be interested in, they tell me they are looking for homes in certain areas I knew nothing about but yet they posted all that stuff on their page basically saying they will buy any house regardless.