Deal Analyze

[Devon Woodson]

BiggerPockets,

I have a couple of deals going at the time in the Kitsap County area, but there's one in particular I'm trying to get sold ASAP. The original owner is anxious to sell and wants to know we'll close soon.

The owner had the house assessed at a $160,000. However, I told him the best I could do was $130,000 and he accepted. All the other houses in the neighborhood, this size, are selling for around $250,000. If party C got it at $140,000, after putting in $30,000 of rehab into it, they can turn this home around for atleast $240,000, probably more. $240,000 x 70% - $30,000 = $138,000. That's just shy of a 20% profit, at $46,000. I always like to speak in "worst-case" scenarios so that I know there's a guaranteed profit.

Let me know if this is a deal you'd take or not, and why?