Hi,
This will be my first realty investment. This is a four plex. The rents and expense they are quoting seems to be profit maker. However I just cannot go by the sellers word. I need to numbers form documents. Also since this is my first investment I am not sure what documents to ask to get the correct figures.
I would appreciate some advise as to what document to request prior to my analysis work for checking out cash flow. If I missing anything I would also be grateful if someone fill in.
Regards.
Ask the seller to furnish the deposit reciepts and limited bank statements supporting income? If they used a property management company you should be able to get a certified copy of the monthly income / expense.
Ask seller to furnish copies of the following bills: Insurance, taxes, electric, gas, water, sewer and trash.
Get this information for the last 2 years if available? (If they did not just buy it or build it)
Talk to other Property management firms to get an idea of what expenses and income should be and compare to your subject property?