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Updated almost 12 years ago,
Beginning to put first offer together
Hello all,
I want to thank you in advance for reading this and please-tear it apart if need be. I haven't posted too much on BP but have been reading alot. My plan has been to fix and flip to improve my cash on hand and then move into buy and hold. I have found myself with what I believe to be a great opportunity to do my first deal..
3/2 SFR, 1400+ square feet
Estimated repair/update-$45k-no formal bids--yet
Estimated ARV-$125-130K-pulled from county recorders office.(will need help with comps. Any local folks interested? Let me know how I can quid pro quo).
House currently in probate, but since it belonged to the parent of a friend, they allowed me to get inside and look it over. It has a clear title(will still have title search done). Once the family has cleared everything they want out of the house, they will let me back in and at that time I will have a contractor come out.
I plan to offer an all cash $60k "as is"-subject to repair bids. Close in 1-2 weeks.
My questions:
1. Since I will need to go with a hard money lender, at least in part, what are the chances that a 65% LTV would be available to a rookie-with reasonable interst/points anyway? I have already considered an optional exit of lease opton with owner finance and wholesale if necessary.Other options?
2. Is there an average +/- on repair costs I should figure in?
3. What else am I missing at this point? I'm not used to reaching out, but know that it's what it will take to be successful.
Thank you all in advance!