I have finally (after 10 weeks) of being a member of the success academy, and a very informationally packed visit from Matt, locked up a REO. I am torn between trying to fix up the property, which should only be $10,000 to fix up, or try to wholesale it? I was able to obtain private money lender(through a mortgage broker), but still needed to come up with $40,000 of my own money to buy the house. I am getting to be shorter and shorter on money for the fix ups, so do I place it on craigslist and offer it for $20k more than I got it for? Homes in the area are comping out at $185,000-$205,000. I paid $133,000 for the home, and there are so many fees involved, that you never think about when you are getting into this deal thing....insurance, surveys, points, interest charges, fees to the county to get utilities turned back on, lender fees, recording fees, tax stamps, etc., etc., etc. the list goes on and on!! My $133,000 home at closing will cost me $145,000. Granted there will be fees returned when I sell, but that doesn't help the need for money to get the fix ups done. I am planning on putting a lot of sweat equity into the deal, but I am now thinking that wholesaling for a $10-15,000 profit may look better at this point in time.
Just looking for some advice, or previous experience with this issue.
Thanks DG family,