Wholesaling Formula for offer price

[Lily Rodriguez]

I'm sure that this has been posted here already. I just want to share the formula to new wholesalers because I have been getting deals that don't make sense for myself or my investor clients and in order for you to get a good wholesale deal to your Cash Buyers you need to know this formula. It does varies depending on your market.  For this example we will use 70% 

For this formula you will need to know the following:

ARV=After Repair Value ( How much will the house will sell for after making all the repairs needed)

Repair Estimate - (Send me a message and I can send you a list I got from my mentorship class for ball park estimates based on square footage and depending if you need cosmetic repairs, avarage repairs or Extreme repairs)

Your Assigment Fee

ARVx.70 - Repairs - Your Assignment FEE = Max Offer

Example

$200,000 x .70 = $140,000 - $30,000 (repairs) - $10,000 (your profit) = $100,000 (offer)

Your potential profit is $10,000 

I hope this formula helps you make offers that will make sense for all involved in the transaction.

Happy Wholesaling,

Lily Rodriguez - Investor friendly Broker