SELLER WANTS TOO MUCH, HELP!

[Cameron McElhaney]

Hey everyone,

I have a lead who has a property with an ARV of 190k and needs a rehab of roughly 45k. The home is in great condition, but outdated and would need to be connected to city water. I made a cash offer of 135k and was rejected. There is a sentimental connection to the home and the seller is set strictly on receiving 160k for the property. She is very open to seller financing but does not want to have the payments exceed a 15 year time span. She also is interested in receiving money down from 10-20k. I am trying to wholesale this deal and hope to get a 10k assignment fee. I need advice on how to make this deal work or else I will have to part ways with the seller. I think my only option would be to persuade her to come down in price. Market rents are $1500/mo so as it sits it would make an amazing cash flowing rental, but the rehab is what kills it as a worthwhile deal.

numbers:

ARV: 190K

ASKING PRICE: 160K

REHAB COST: 45K

ASSIGNMENT FEE: 10K

MARKET RENT: 1500

[Chris Seveney]

@Cameron McElhaney

Don’t waste your time. If current value is $145k and you were going to sell it for $145k why would an investor buy it even if you get it for $135k?