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Updated about 11 years ago,
Newbie needs help with Wholesale Deal Evaluation
I just started in a wholesaling business and in need of help getting my first deal done. I got some leads but I need help evaluating... The houses on this street that has the same lot size go for about 90,000 ARV but the living space is way smaller in size about 1000sqft 2-3 beds and doesn't have 2 buildings like this one.
Sellers asking: 135,000 but can go lower (he wasn't sure)
2 Buildings in this lot
Currently Rented & Tenants paying on time
House 1 : 4 Bed, 1 bath + Basement
House 2 : 2 bed, 1bath (Coach House)
House1: 1200/month, House 2: 850/month
Total Rent: 2050
Building Type: Stucco
Living space about: 2000 sqft possibly bigger
Lot Size: 3660sqft
Year Built: 1941
Repairs done: Central Air recently installed
Seller says does not need significant repairs.
Seller is a tired landlord and wants to get rid of a few properties
What would be the possible ARV? and what should be my offer just by looking at this information? I was thinking 110,000? is that too high? I have no idea how I can evaluate I am afraid if I put this house under contract too high there would be no buyers. I tried to find comps but there are no property near that has 2 buildings like this. Any help much appreciated!