Ive located an 8 unit Multiplex or 1br apts, seller owns free and clear, $225k is the selling price, seller is firm on price. will take 45k down and 1250 a month for 10 years with balloon at the end. I only have 20k available… the market price for all apartments rented would be $3200 a mo. any ideas on how to make this work?
[QUOTE=palmettoproperties;885555]Ive located an 8 unit Multiplex or 1br apts, seller owns free and clear, $225k is the selling price, seller is firm on price. will take 45k down and 1250 a month for 10 years with balloon at the end. I only have 20k available… the market price for all apartments rented would be $3200 a mo. any ideas on how to make this work?[/QUOTE]
I’m far from an expert but have you looked into Master Lease Option?
45k is 20% down…so he wants full price and 20% down…doesnt look like id be interested.
[QUOTE=palmettoproperties;885555]Ive located an 8 unit Multiplex or 1br apts, seller owns free and clear, $225k is the selling price, seller is firm on price. will take 45k down and 1250 a month for 10 years with balloon at the end. I only have 20k available… the market price for all apartments rented would be $3200 a mo. any ideas on how to make this work?[/QUOTE]
Let’s skip the seller’s motivation for a minute.
Talk us through the numbers. Figure out the NOI and then the implied value of the property. Where is the property located as that could make a big difference in terms of the expenses (snow removal, etc).