URGENT!!!Is this a good deal?
Hi,
I'm a new investor and looks like will make my 1st investment property in my life. But now the situation bothers me a little bit, so need you guys advice, please!
General information: Multi(2 units) in west new york. Almost 100 years old house. Occupied. Good rent income.
I made the offer $8000 less than listing price. Owner accept immediately. After home inspection, the condition is not that good but acceptable, has Asbestos problem, missing insulation on the roof, couple of pipes need to be replace and also water heater tank, the basement has bathroom but no permit. Seller is willing to give $5000 credit. But I have to take over all the tenants. One lease will expire next year, another lease is month to month. I met these tenants before they are "looks like" good guy, but you know...
Now my concern is , the owner is a agent. This property can get 10% return yearly, which is very high in that area. I don't know is there any tricky part , cause I can't check tenants' credit score, if this return is really that good, why he wants to sell it? Is this common?
Please give advice, thanks a lot.