Advice and feedback on potential Wholesale deal

[Troy Williams]

Hello BP, I would like to start by saying I appreciate this community and everything they have to offer. Thank you! For the past several months I've gained a lot of insight on different strategies. found that wholesaling fits my criteria, so I've been tunneling in on that to gain capital. Through biggerpockets podcasts, books, and endless research, I've been working on a system to generate leads and acquire deals. About a month ago I came across someone who is a friend of the family looking to sell their home. Since it's an off market deal in a HOT area, with comps at almost triple the asking price, which I thought made sense. I've been exercising the due diligence process and also used the biggerpockets wholesale calculator, which is VERY helpful HERE is my Analysis... SELLERS ASKING PRICE - $100k MAO- $109k END BUYER'S PRICE- $117k + 4k (closing cost) WHOLESALE FEE- $8k ARV- $210k FLIPPING CASH BUYER PROFIT- $35k REHAB BUDGET OF- $35k QUESTION- Am I leaving out anything that I need to know? I would GREATLY appreciate any advice I can get! Thanks !

[Van Blackman]

I agree with @Account Closed. Everything is negotiable. If the seller is asking for $100k, be sure to go in a little lower. I would offer $90k and see if they can meet you half way. Of course, if $100k is truly the lowest they can go, don't pass up the deal. If the seller is in trouble, and that's their bottom line, do your best to help out as much if you can. If you can get it lower however, you can sell it a little lower. This is important when you're starting out because at this stage in the game, you need to build a good reputation for selling quality deals. You'll be known as the ethical wholesaler with great opportunities. You will have zero issue selling your deals. That's BIG. This is a relationship business first and foremost. Never forget that. 

Also, be sure to look into the rental figures that this deal could bring in. What could this house rent for in decent shape? What can your investor cash flow if they buy and hold? If an investor thinks the deal is a little tight, it could always turn into a rental play depending on the area. 

All in all, good job! Get the deal under contract and do your best to move it. Success breeds success. The more experience you accrue, the easier it gets.

Hope that helps! Feel free to reach out to me for anything if you have other questions!

Best,

Van