Katy, TX inherited property, please help!

[Andrew Farmer]

I got a call today from a potential seller. It is an inherited property that belonged to his mother. Him and his brother are the only 2 on the estate. I am meeting with him on Monday to check out the property. There is no mortgage but there are right at $10k in delinquent taxes and there is a suit filed. Here are some of the numbers that I pulled from MLS.

-Recent comps put the ARV at around $130k with low DOM (most comps are 1250sq/ft and this house is 1650sq/ft)

-Rental comps are $1250-$1350/mo

-Rehab cost ball park $25k (from what he described but I'll have a better idea when I get there, but for argument sake, let's say that rehab cost is correct.

It's a great rental neighborhood and it would be perfect to wholesale to a landlord investor.

My question has to do with the area. Do I still need to stick to the 70% rule, or does the fact that it's in Katy ISD mean that I could go a little higher with my offer?

For those who know the area better than I do, what would a reliable cash buyer be willing to pay for a deal like this?

Any feedback would be amazing!

Andrew