Possible 8-unit opportunity, needing advice
Hey BP community,
I have came across a possible 8-plex for sale, which has a unique history, that I need some advice on.
The building has 8 units with 7 of them rented weekly and one rented monthly. This is obviously not ideal for a long-term buy-and-hold but I got the financials and the dang place cashflows like a boss. Over $8000/mo after landlord-paid utilities. So it's basically a weekly hotel. I know this comes with it's own garbage bag of problems (lots of cleaning for the weekly turn-over, not as stable income, possibly some lower income people floating through there, etc). This building is constantly filled from what I was told. It has a hefty price tag, I assume because of the cashflow. The owner is asking $599,000 which I think it too much and wouldn't pay that. Any input would be great.