You can realize a goodly profit, but it takes time.You can also sell it for 70% of ARV ($486.5k) which gives you a little over $40K, minus costs or God forbid extensive repairs.

Talk to several realtors, and explain your situation, but realize that not all of them are 'practical' people.

the loan would be over 91% of the realized value of the property. 

This property is impossible to owner occupy in its current state and the serious offer they did have fell through because the investor realized it was more work then he could afford with offering 85k.

(You will have to exercise your option to realize the spread).  

So when you want to find a tenant for that property you don't close on for 6 weeks, you can't unless you have written permission, which is harder to get than many people realize.  

Didn't realize how much work it was going to need inside.

Had we not asked for the finalized HUD, we're not sure when we would have realized the switch. 

Most people who are used to having a job with health benefits don't realize how much of their premium is being picked up by their employer, so it's quite a sticker shock.

i just realized that when i start wholesaling, that the entire process can look like brokering a deal without a license.