Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
Real Estate Deal Analysis & Advice
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 10 years ago on . Most recent reply

User Stats

57
Posts
27
Votes
Darrie W. Bennett
  • Real Estate Broker
  • San Francisco Bay Area, CA
27
Votes |
57
Posts

My First Wholesaling Deal ... Hopefully

Darrie W. Bennett
  • Real Estate Broker
  • San Francisco Bay Area, CA
Posted

    According to "The Ultimate Guide to Wholesaling" Re: Fixed Costs ... I should include the Holding Costs & Transaction Costs on both sides of the deal to use in my MAO.

Comps ... All three are PUD's ( Planned Unit Development for you newbies ) from the same development. They are exactly the same.

1. Sold 9.12.97 for $186,900 ... completely upgraded

2. Sold 2.12.01 for $294,000 ... Sold "As Is"

3. Sold 4.11.03 for $ 372,500 ... comments "Well Kept"

    What should I use as an ARV ?

The "Property Analysis" sheet the buyer uses states he pays ( ARV x 70% ) - Repairs which equals $86,403.

The Wholesale Calculator states buyer can pay $124,274 and my MAO = $119,274.

My fee is $5,000

Buyer's profit is $20k ... he requires 10 - 15% profit based on the sales price.

Rehab budget is $35,486

If I use $200,000 as an ARV the buyer will receive a 12.08% ROI.

What should I do ?

Loading replies...