Hello board,
I got my first wholesale under contract today. purchased for $12,000 arv $95,000 repair$40,000 .Flip sell for $27,000.Profit $15,000 This is what I’m thinking or is $27,000 to high?
28k profit for the rehabber. My cut off is 40k but assuming your ARV and repair estimates are on the conservative side someone might bite.
repairs on the high end. What’s a good selling price?
I have no idea, that’s your job. Just make sure there is a reasonable profit for a rehabber spending a lot of time and money on the property.
I’m a rehabber and I wouldn’t touch a property where the amount I had to spend on repairs was more than the potential profit. In your case, if the place needed $40k in repairs, I’d expect to make $40k on it. I can do too many deals for $10-15k in rehab and $15-25k in profit to take a gamble on making $28k on $40k in repairs.