?
I bought a duplex at a city auction well below assessed value, only have 10 days left to close, was planning to pay cash then refinance but I spoke some people today, they said I have to hold the property for 6 mo-1 year before I could refinance or cash out to recoup my initial investment. No time to get a loan now but I did not want my funds extended for over 6 months. Any suggestions?????
no one out there has an average deal size?
If you are talking about rehabs - I would suggest not going into deals unless you expect to make $25,000 AFTER all repairs are done, holding costs, commissions, etc. A good realtor that understands this is hard to find from my experience!
[addsig]
Thanks for the responses.
How much do you want to make this year?
How many rehabs can you do in a year?
Divide the amount you want to make by the amount of rehabs you can do and this is what you need to make off of each rehab.
$100,000/20 rehabs = $5,000 a rehab.
$100,000/2 rehabs = $50,000 a rehab.
See how it works? Now start working your way backwards.
Rehabinator,
Thanks for your insight. How would you describe the Colorado market as a whole right now?
Enjoyed reading your posts Rehabinator - your logic on pricing correctly can be applied across the board in all business disciplines. Oddly, there are always those in every industry who are proverbially willing to drop their panties on profit margin just to get the deal, those who are hobbyists or who do not rely heavily on the extra income - this has a far reaching effect on the market for those who desire to turn out a living. Cheers!