First commercial deal. Any advice

[Michael S.]

ok i do not have all the numbers yet but am wondering what i should be looking for. my real estate agent approached me with a 16 unit and 4 store fronts. net profit a year is around $70,000   owner will hold financing. $500,000 purchase price and $100,000 down payment at 5%. I know i have to check the building and rent roll and expenses etc but just curious of any advice anyone has.  i own a duplex now and have been looking at 3-4 family but my realtor said this is a good opportunity so curious what you guys think

[Brie Schmidt]

Not having all the numbers it is hard to say.... bu if the true NOI is $70k and the purchase price is $500k that is a 14% cap rate, a great deal!