Need some help pls.

General Real Estate Investing
1

I have a deal I’m currently working on… a 6 unit MF property with asking price of $579K, the seller has 1st mortgage of $375k and says that the property makes about $42K NOI.

I havent done CFA yet but what I would like to do is probably take him on his asking price and see if he could seller finance the $204K for 10 years at 10-12%, or try to see if he would discount the price to 550K and and then assign it to another investor for 575K

The seller says he has 5 renters, but I have not checked it out the property yet …just trying to figure out the best solution to maximize my profits and make this a win-win for him and me.

open to ideas…

2

Hi m8trxadmin, I’m new at this whole thing as well, so forgive my question.

Why would another investor be interested in taking the assignment for that property at virtually full price?

3

The only way this would be a win for you is if it was a lot cheaper. Negative cashflow all the way…

4

the margins are in the red.

although more details would be nice. where is it located, what are rents, what type of expense data do you have, etc…

the number one question obviously - is it legal…

also, seperate elec meters?