Presenting Offers To Buyers

[Risto M.]

Hi Bp!

As a newbie, I want to make sure I'm doing this right. I want to become a reputable wholesale, not like the one mention in "The Truth about Wholesaling" topic

My first question is about the formula I commonly see in books, forums, blogs, ect. ARV x 70% - Repairs = MAO (Max Allowable Offer) Why 70%? Is this 70% rule written in stone? If i had a deal that was 75% of the ARV, would my deal be rejected by every buyer I bring it to? What about estimating the quite cost (holding cost, closing cost, ect)? Is that something that i have to do, or does the buyer do that on their own?

My 2nd question is about wholesaling to the 'Buy and Hold' investor. They're mainly focused on the NOI and ROI right? Buyers get there funds from different places, so the loan payment (if any) varies. So how do I determine the NOI?