Calculating Buyer Offer: Using Inventory to Determine % of ARV

[Drew Byrd]

As a wholesaler, how do I use the historic inventory in my market to properly determine what percentage of the ARV I will use to make my offer to my cash buyers?

Traditional wholesale formula is as follows:

ARV x 70%, less repairs = Buyer offer

How does market inventory affect that 70%? How will I know that right percentage to input into my formula?