How high would you go?

[Todd Groom]

We found a deal. It hit MLS yesterday morning. I ran numbers and it came out at a 20% COC return. I knew this deal would go fast by 12pm they already had people walking it. My agent jumped on it ASAP got the info had us in there by 3pm. And boom it not only had a full price offer but had a second on the way plus ours.

Info - 2/1 duplex block structure one unit fully remodeled one older. One unit $300 under market and the one vacant has a tenant ready to move in full market.

The question is, how high would you go over asking in a bid war?

And how high would you go over appraisal value?

Would you even care about appraisal and run off of cash on cash return alone?

Our current offer we are planing will be $6k over full ask. But that still leaves us at a 18% or so cash on cash return. It’s a home run but st what point do you stop?

Thanks!