@Brian L. and @Rick H. ,
Thank you for the replies!
Great point about comps. Unfortunately, I haven't been able to find any without a garage. So I had to adjust ARV a bit.
Also, turns out I was wayyyyy off on the repairs too.
Sellers seem a little more motivated now that they know the repairs are so high. It's looking good, but I'm still working on it.
After meeting with the sellers and talking with 3 cash buyers / wholesalers...here's what I've come up with...
ARV: 92k with garage (82k without)
Repairs: 30-35k (up to 35k if it needs a roof)
windows, floors, paint, interior doors, drywall repairs, kitchen, bath, garage, roof, central air, and an extra 20% for misc.
Using the higher 35k repair amount...
MAO= 92x 0.7-(35k) = 29.4k- minus my wholesale fee.
Does this look right?
A few questions:
What would be a fair wholesale fee for this deal?
Also, I emailed this deal to a couple of local investors who helped me estimate repairs and comps. In return, I offered to split my wholesale with whomever finds a buyer.
Is that fair compensation?
Also, if I find my own buyer, what would be fair compensation for them for taking the time to analyze my deal and give me advice?
I want to make sure to do well by everyone who has helped me do my first deal and not burn any bridges.
Pre-probate issue:
How do I get the heirs on title so they can transfer it to me? Do I need any attorney for this or just call the title company and ask what they require?
Once I get the contract approved, I need secure my interest before marketing the property by recording a memorandum of contract with the county recorder correct? Anything else I need to do?
Does anyone in Chicago have an investor friendly title company and attorney they use and can recommend?
Thanks everyone for all your help thus far!
