Financing for a packaged property?

I saw a property here in Albany that I’m
interested in buying.
It’s being sold as a package. 4 townhouses, duplex,
so, 8 units.
The owner would not sell it individually.
It’s being sold for 359k. Is this feasible? How much
downpayment do I have to shell out? There are 4 deeds,
therefore, it can’t be considered commercial, right?
Do you think the bank or lender would approve this?
And on what conditions?

This should be a slam done if you can show that the collective income on 359k can generate rents of about 3600 dollars per month (figure price at 100x rent). Since there appears to be 4 duplexes here, it looks like about each apt would be rentable at $450 per month (3600 divided by 8)

Lending-wise, you should be able to line up one or even two lenders that can do 100% financing using an 80/20 mortgage. If the lender allows 3% settlement help and you can get the seller to agree to it, you could be looking at closing costs of only $4000 per property for a total of $16k between all 4. If one lender won’t do all 4, find two lenders who will do 2 properties each…

Couple of open issues:

  1. You need to calculate your yearly taxes on each property. If the taxes clock in at more than 1,000 dollars per year, you’ll need to factor than into your cash flow.

  2. You need to shop agressively for homeowners insurance to keep your monthly escrow payment manageable.

Note - If property taxes are sky-high in Albany, you might was to reduce the sales price down to 90x monthly rent…
I can explain in future postings.

Property taxes are low here in Albany. Also, the rental actually generates $4800.
Taxes are $7400 and insurance at $3900.
So, just buy em 80/20 and find 2 lenders?

(The owner would not sell it individually.
It’s being sold for 359k. Is this feasible?)

So are you saying he wants to close this as a single loan? If so, then you will not be able to do it. Each duplex will need to be financed seperately. You can definitely get all four properties financed at the same time, and you only need 1 lender (most lenders allow up to 4 properties with no problems). The closing will consist of 4 sets of loan papers. The seller will have to choose a PER-UNIT sales price for each unit. I hope this answers your question.