All Forum Posts by: Octavia D.

Thanks so much albert

ARV Practice, please help:

I'm still having a bit of issues on getting the formula right on this so that me and the end buyer will both profit from a deal after helping a seller. Since I'm wholesaling I was told there's no need for an inspection, these numbers are from a possible deal I've held info. on from a seller. As of now I believe the seller is still renting his property but might consider still selling it, regardless I want to focus on getting this ARV right, so could you guys tell me what I'm missing here.? Also how do you know what the average price range that a rehabber or end buyer will pay for.?

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Ask: $69k

bdrms: 3

baths: 2

Sqft.: 1,150

Sold comps. (6mnths): $98K - $189,900  ( View Here )

H.O.A: $200

Free & Clear (no mortgage)

ARV: $98k

x.60 = $58,800

x.70 = $68,600

x.75 = $73,500

- Repairs: $O (seller was fixing it up at the time)

- Profit: $10k

----- max offer(s) ----

= 1: $48,800

= 2: $58,600

= 3: $63,500

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I included all 3 possible numbers for each % and the max offer for them, does any of this work, or would it have been better if i used the other range of $189,900? Thanks so much guys for you're help.

I don't know for sure if there is a profit in this property, due to me not doing a deal yet i'm more focused on getting the hands-on understanding of the step by step process than the profit. Yet the numbers are important, my main goal is to own small apt. rentals so my main intention was to rent it out but due to there being H.O.A there. I figure to wholesale it instead but I never went any further with the process because I didn't know what to do and the seller decided to rent his property out again instead. I remember after a few days of him re-renting his property that through text he was still interested in selling it, but that was months ago (last year in october/november). I haven't contacted him since but still have his info. his wife provided me, I'm just trying to see if this is a possible deal or just another dud if it was / is still considered by the seller for sale. I'm also getting a better understanding of the ARV formula and based on my conversation with the seller / wife regarding this deal, he was doing the repairs, so I don't think a property inspection would be necessary. 

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Is there a website where I can determine the Market Value without paying someone to provide that info. for me, because i don't have any money to pay anyone. Is there a website that helps with this or at least is close to it.?

Thank you

I can't afford an agent / broker, so i'm using whatever experienced eyes I can find on here to help me understand.

 Thank you, I sent you a private note ( if it sent) or was I suppose to friend you 1st?

I started a new thread regarding the other lead I have, don't know if it's still avail. or not but would like to know from you guys what I'm missing on this one or if this is / was a possible deal I let go by.

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http://www.biggerpockets.com/forums/93/topics/176089-50-owner-financing-old-fsbo-is-this-was-this-a-deal-dud

50% owner financing, old FSBO, is this / was this a deal / dud?

For those who helped me not make a mistake on a new FSBO deal i found in my area based on the numbers, thank you again so much for you're help. I did mention I have another lead but it's an old one. I don't know if the owner is still interested in selling his property or if he already did it. Regardless I would like to know from you guys and others is this a deal / not or would have been.

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Contacted: 10-15-14

Townhome

Free & Clear Title (100% equity)

Ask: $69K

Appr. market value: $40K

Sold comps (exact): ???? (what website can I search this for?)

Owner financing with 50% down

Reason for selling: obtain more funds (invested in too many properties)

Repairs: none (owner was fixing it up)

3bdrms, 2baths, 1,150sqft

Taxes current

H.O.A: $200/m

*don't know if it's still considered for sale / already sold but it is rented out *

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What do you guys think? ...... I wanted to do a buy & hold with this one but couldn't due to the 50% down payment and didn't know how to wholesale it, this was my very 1st contact with the owner (well the owners wife hehe!).

Thank you every one for you're help, it really means a lot to me as a new investor to help stay grounded on my goals and focused on my numbers, regardless of the shiny object I see in my backyard. Hehehe! Perhaps the other lead might be better, i'll do a new thread on that one to see from experienced eyes if that's a go, but I do ask ............ since I don't have money to get my purchase contract checked, do you guys know of anyone on here in the Texas area that could check it for me.?

 Thank you john, i know that learning about this is very important and after learning a lot about it for so long obviously I was surprised and excited to see a rare FSBO in an area where i live that realtors mostly do deals in. So that's my mistake for letting my excited emotions make me forget what I've learned so far about wholesaling. I've listened to many podcasts and are very great and even was told to not try and make a unmotivated seller motivated (yet he seems motivated because he's trying to sell ASAP) but I guess many of you guys see it's still doesn't look like motivation according to the numbers. I never was good at math hehe!, was even told in school I was diagnosed with a learning disability in math. So I always hated math because my brain just never seemed to process the many details of it. Other than that, I'll take a step back, re-focus and try again with the preference and standards I had all along. My emotions took over a little heheh!! oops.