How do Wholesalers calculate repairs accurately when they can’t see the inside of properties?? All answers are greatly appreciated!
they dont. thats like asking you to tell me how much cash I have in my wallet right now. find out what happened in the house. is it flood damaged, fire damaged, did a hoarder live there, has it been vacant long?
if you feel that you have enough experience with the type of property and potential damage then go back to your previous estimates and figure a sf cost estimate for the work you previously did. Then figure the square footage of the subject property. Multiply your sf cost by the sf of the property. then DOUBLE IT! if you want to take the risk. It can be done, but I personally would avoid it because I am too new to the game to gamble like that.
Yeah, your right, it aint that easy. But you can’t go wrong with calculating the cost of just building a new structure from the ground up. It’s impossible to predict unless you see it. Even when you see it, my guess is that it’ll still be impossible. If (after all that) you still are buying at a great price, then sign it up. If not, pass. Too many non-boarded up houses out there that can be picked up on the cheap to fuss with these. Also consider your exit strategy. I would always keep this in mind. How many buyers are at your disposal for a boarded up property vs one that isn’t? Will it be harder to sell the boarded up one or would it be harder to sell the non-boarded up one?
Find out what’s going on with the owner of the property first. No need to do research, calculating repairs, etc… without even knowing if the owner is willing to sell it to you in the first place. If you have the owner in your back pocket, simply tell him think you’re going to take down a couple of the boards, they never say no to that. As long as you put them back up. :cool