All Forum Posts by: Marvin S.

Thank you Mike and Jon. Great insight, I will also reach out to the realtor we are working with in the area but I wanted to get an unbiased opinion here first. 

I think we're getting caught up in the analysis paralysis stage. I'm sprinting through this book on how to estimate rehab costs, then taking another trip to the property to assess, then going to put in an offer. Worst case scenario they say no, I think our biggest hurdle is rejection and trying to anticipate what someone else will say. We'll never know until we ask.

Hey guys!

I originally was trying to assess if a home we found for a vacation home was a great deal. 

http://www.biggerpockets.com/forums/88/topics/1669...

I received a lot of awesome feedback and have learned a lot. I just purchased the house flipping and estimate rehab books from BP. But while finding comps I ran into a problem...

How do you analyze comps with finished basements vs comps with unfinished basements?

I'm trying to get a general assessment of Price/SQFT based on turn key ready homes in order to establish my ARV. But the home we are looking at has an unfinished basement and all the other homes in the area have their basements finished. Do I simply not calculate that square footage into the equation?

I appreciate any advice or links that you share in advance!

Morry

That is a FANTASTIC idea and that's exactly what we'll do. Thank you brother.

Crystal

Thank you very much for your detailed response! =)

1. I'm compiling a list of comparables in google docs right now and still need to do a search of the BP forum for comparables to use.

2. We definitely have a lot of learning to do in regards to figuring out these costs but thank you very much for pointing them out. Otherwise I would have overlooked some of them.

You make a great point regarding the 70% rule of thumb. We will need to consider what we are comfortable accepting on our first deal. Thank you again for your time and advice!

Thanks for your insight and suggestions Collin. They are really helpful! We saw a couple other properties that were move in ready and they were only 20k more so we definitely have some negotiating to do.

Good morning

This is my very first post and I'm really excited about this forum. A friend recommended it to me and I've just been reading ever since.

My wife and I recently found a lake house that has a great view of the lake, bones, and location. However, the home has been absolutely destroyed. My wife didn't even want to go in, carpets were stained with what looks like urine all throughout the house. It wreaked and has been sitting empty since Feb 2014.

Here are my main questions? (please forgive me if they've already been answered here)

How do I properly value this home to present a reasonable offer?

It will need:

- New floors throughout the house

- New roof

- New deck

- Paint, possibly even replacing dry wall (there are stained yellow patches throughout the home)

- The basement to be finished

- Brand New Kitchen

- Brand new bathrooms

I do not know the first thing about carpentry so I would have to find a reliable contractor but how do I find out the general cost for projects like those listed above in my area?

I remember reading about the 70% rule in the Ultimate Beginners Guide. Which says to figure out how much the home would be worth after repairs, then factor in repair costs, and offer 70% of that number.

Any advice, website articles would be very much appreciated. I really look forward to being a part of this community. Happy Friday!