BRRRR - Buy, Rehab, Rent, Refinance, Repeat
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Updated about 2 years ago,
ARV in a crashing market
As of what I understand about the current market, house prices are going down. How do you factor in the declining house prices when trying to estimate your ARV? For example, if I buy a house for 25k and put another 25k in renovations and it takes 3-4 months to rehab it and I estimate the ARV to be 100k. During the renovation period, house prices decline and thus the ARV goes down. How do you guys factor it in?