- Joined
- Oct 17, 2007
- Messages
- 295
Hello
I am interested in using some of the Quick Turn real estate methods as more of an exit strategy for some of the units that I have already owned for a number of years. I have been looking at some information in regards to establishing price but it is vague in its methodology. I was curious if someone had more of a concrete system for coming up with their exit price? I understand price is all about what someone is willing to pay but it would be great to have a guideline to work with. Let`s say for example that I had a certified appraiser come up with a current value of $250,000 on a home. The person was looking at doing a 2 year lease to own. The area has had a 10 year average of 6% appreciation. What would you use (or a guideline) for coming up with a value on this scenario?
Would you simply add the 6% appreciation to the $250,000 and compound over 2 years to come up with $280,900? Would this be asking for too much and prevent a deal from happening? I am curious if anyone has a system and also how they would pitch a future sales price vs. current value.
Thanks in advance!
I am interested in using some of the Quick Turn real estate methods as more of an exit strategy for some of the units that I have already owned for a number of years. I have been looking at some information in regards to establishing price but it is vague in its methodology. I was curious if someone had more of a concrete system for coming up with their exit price? I understand price is all about what someone is willing to pay but it would be great to have a guideline to work with. Let`s say for example that I had a certified appraiser come up with a current value of $250,000 on a home. The person was looking at doing a 2 year lease to own. The area has had a 10 year average of 6% appreciation. What would you use (or a guideline) for coming up with a value on this scenario?
Would you simply add the 6% appreciation to the $250,000 and compound over 2 years to come up with $280,900? Would this be asking for too much and prevent a deal from happening? I am curious if anyone has a system and also how they would pitch a future sales price vs. current value.
Thanks in advance!