How to determine the “as-is” value of a property

Q: What is the value of anything?

A: What someone is willing to pay for it. 

When it comes to real estate – especially when borrowing money for the purchase, the lender will employ an appraiser to provide their opinion of the value. 

But when it comes to what you should pay, your primary consideration is what you are WILLING to pay. This means you need to answer a few other questions. 

What do you want to do with it? (aka disposition strategy)

What repairs/updates does the property need?

How much profit or cashflow do you seek?

For an example and a bit more explanation, click here.

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