If it's already in poor condition, then they don't have that to worry about.Personally, I'd dig a little deeper on this deal and probably would want a lower price to make it work.Good luck.

What I didn't mention is that she became a real estate agent last year to get an "insider" view of the factors going into real estate transactions, including the sometimes unforgiving taxes.  

There are a few larger rehab companies in the area who can afford to flip homes at a lower margin that your typical one-man rehabber/investor.For speaking with motivated seller off the MLS, I think 70% of ARC minus repairs is the best rule of thumb.

The 2 mortgages are affecting his credit and he wants to unload the first house.In all my researching of wholesaling I've yet to find out how a tenant affects the transaction.

With interest rates lower, you could get a bit more aggressive than that, but it's a good benchmark.  

By the time you factor in longer Dom, higher holding cost, and lower sales price you will end up losing more money.  

She was never late, but the mortgage payment was high for her, so she has now done a modification using the FHA-HAMP program to lower the mortgage payment while she is ramping up income (having been a stay at home mom for the last 15 years).  

Prices are still going up, but at a lower rate.

We don't make the choices, nor should we judge our clients for doing what you feel you want/need in a transaction.

I go with the lower number to stay conservative.