Factoring Repairs/updates into Purchase Price

[Ethan Brown]

Hi Everyone,

I have a quick question. Let's say you're looking to buy a property that has a fair amount of repairs/updating to do but it is not a BRRRR property; how would the math work in order to create a deal for this property? Would you create your deal using comps similar to the properties current condition then find what price works for what you need, or would you find your ARV and after repair rent (Even though this isn't a full rehab or anything) using nicer, more updated, comps and create your deal as if it were a BRRRR (or something along these lines)?

Thank You,

Ethan Brown