Get a Contractor..Or Walk Away

[Leslie Vaughan]

So I have a potential property to go under contact. The property is listed for $199k, however after pulling the comps and the fact that home just listed for sale (2 days ago) for $20k less than my seller! (I brought all this to the seller) he now has offered a sell price of $175k. However, the issue for me is after doing my numbers he'd still need to be way lower than $175k. The property is in decent condition but it will need renovations in the kitchen & bathroom. The property that just listed for $179k is a 1/1.5 with all recent updates & garage... while my seller has no updating/ no garage but it is a 2/1. 

My question is should I have a contractor review the property/or send photos and videos to get a more accurate number on renovation cost and then afterwards take that to the seller and negotiate? Or walk way because the numbers are not adding up.

I do believe that the ARV could possible range between $200k-210k. Just my take on it.

Any and all suggestions/advice is appreciated!

Thanks in advance!

[Hector Perez]

if the ARV is $210K, how much are you estimating on repairs?

if you are trying to sell the property to a Fix and Flipper, there is no deal, as there is no meat to make a profit, now if you are selling the property to a landlord, you have to run your numbers to see if they can cash flow.

Otherwise, use your time wisely and find another deal