You need to know who you're marketing to and then use real market data (other sales and listings in the immediate area) to tell YOU where to spend the money, or how much you'll need to drop the price by.

You can drop $100k on a gutted reno without blinking and without major upgrades.

Keep us updated if you can drop the price. 

For example, here:-pre-recession (2003-2008) prices rose 100%-recession (2008-2011) prices dropped 20%-post-recession (2011-2017) prices have risen 65%A $150k condo in 2003 is now worth $400k, which averages out to almost $18k a year.

Dropped $20k like that.

Essentially, we're hoping to use the ~$100k to drop $50k on two new properties (25% down, each).  

Where I live we have houses fall into the commercial designation after vacant for so long and they become very difficult to sell the prices drop VERY low. 

In a conventional loan, PMI can drop after you have 20% equity in the home.

If they can swing the 5% down, I'd encourage him to consider that as a better option IMO in most cases ... with a conventional, they will have to pay PMI (mortgage insurance), but if/when they have built up sufficient equity (20% I believe), then they can have the property appraised to confirm, and then drop the PMI, and keep the other loan terms, including the same fixed rate.

Seller's agent dropped the ball.