Need Help With this Deal - Inspection and Offer Question

[Ken Sanders]

I'm currently looking at a 6 bed, 2.5 bath, 2800 sq/ft REO home to rehab and flip. The house needs all new flooring, all new windows and doors (interior and entry), two new garage doors, walls patched or re-drywalled, exterior and interior painted, new kitchen with appliances, new roof, all bathrooms reomodeled - all things that I can calculate. The bank, however, has the water and power off and they will not turn either on for inspection purposes.

How do you more experienced rehabbers handle this? Do you assume the worst and subtract accordingly from your offer?

The house was originally listed in June for $340k and has since been dropped to 326k and is currently at $290k. Comps are in the low $400k range. I'm wondering how low I can go on my offer without just being dismissed. What would you guys do? I'm a cash buyer, also.