David here today. I got a call this morning from a wholesaler about a house i looked at a week ago that was a run down duplex that had a hole in a bedroom roof and ceiling that looked like a meteor must have come through. It is best suited to convert to a single family home. In the neighborhood for a 3 bed 2 bath home in the 1500-1700 square foot range the comps run $190k-280k which is very high for memphis. price to me? $96k. leaves a lot of room for the conversion. i am going to budget $50k which is the most i have ever budgeted for a rehab. I intend to take off one door, create a new large front porch, a carport, new roof, and convert to a 3/2. i hope to make it nice enough and with enough charm to sell at over $200k.
i got another call from another wholesaler that likes me to go look at houses with him after he has pre-negotiated on the phone and we go look at the house, review the comps, i tell him what i am willing to pay and he offers them a few thousand less to make his wholesale money.