Help with deal analyzation...

[Ushi Hastie]

Hi Everyone,

Going to take a look at a potential deal this afternoon that is unique to my experience and was looking for advice...

It's a vacant 3BD, 1.75BA, 1590 Sq Ft. rambler with a basement built in 1948. Seller moved out after a fire this past May. He owes $143K between a 1st ($122K) & 2nd ($21K) Mortgage. ARV comps are in the $220K - $240K range. He's 3 months behind on his first mortgage and current on his 2nd.

The numbers are tight and may not work for a wholesale deal depending on the extent of damage from the fire.  What makes this unique to me, is that the lot is 19,400 Sq Ft, which is twice as large as the comps besides one.  After looking at it on Google maps satellite view, it could easily be divided into two separate lots to build a 2nd house.  

My question is how much does lot size affect value?  Also, how could the possibility of dividing this lot affect the numbers?  Lastly, would it be best for me to refer this seller to an investor that deals with short sales? Seems like he would be a good candidate for a short sale due to the fire damage and seeing as he is behind on payments...

~ Thank you