youtu.be
In this YouTube video, Sam teaches viewers how to create a real estate investing budget in 10 minutes or less. He emphasizes the importance of knowing the after repair value (ARV) of a property, which helps determine how much to pay for it so that a profit can be made when selling or refinancing it. To find the ARV, Sam recommends identifying three comparable properties (COPs) that are similar to the subject property in terms of square footage, bed and bath, and fit and finish, and have sold within the last three months within 0.3 miles of the subject property. The closer the COPs are to the subject property, the better. Sam advises finding COPs through a real estate agent who can provide MLS access and allow the viewer to be an assistant on their account.
Sam also explains how to determine the renovation budget for a real estate investment property. He suggests finding three comparable properties (COPs) that have sold within the last three months within 0.3 miles of the subject property to determine the after repair value (ARV). If a real estate agent is not available, Zillow can be used to find recently sold properties. Sam advises adding a 10% cushion to the renovation budget to account for lack of experience. To determine the maximum allowable offer (MAO), Sam suggests multiplying the ARV by 70% to build in a discounted price and subtracting the renovation costs.
Overall, Sam provides practical advice for real estate investors to create a budget and determine the ARV, renovation budget, and MAO. He also mentions that he has a video on how to find funding for real estate investments.
In this YouTube video, Sam teaches viewers how to create a real estate investing budget in 10 minute