I’m finding properties that could possibly be had for around 50-60% ARV or so with some rehab. For instance:
Asking price: 86.5K
Will offer: 70K
Repairs: 20-25K (realistically about 15, just added 5-10K)
ARV : 125K (115-135 comps)
Will offer: 75K
ARV : 137.5K (126-149 comps)
That’s 62-77.5K in equity off 2 properties, correct?
I know there’s CC’s and holding costs involved, but would these 2 deals be something to go after, or is there something else I’m missing? ???
Are you buying to hold or flipping? If your assessment of ARV is correct, these are superb deals. Depending on your market, in this price range any time you are looking at $30000-$40000 the property is worth further consideration. Just to be sure, tighten up the range of values of your comps. Are these bank owned?
GO FOR IT, JUST MAKE SURE YOUR COMPS ARE WITHIN THE LAST 6 MONTHS. WHATS THE CURRENT FMV.
i just used
and averaged out the high and low values of the property. I tried a bunch of properties that I’m familiar with, and it is very, very accurate in my case.
My goal was to use the equity from properties like those to purchase more.
August 14, 2005, 8:00pm
First thanks for the link.
You say you want to use the equity to buy others. How easy is it to pull out equity under a years time?
I’m very curious as to how you are finding these deals at 60% MV
Thanks for your interesting post