Updated almost 13 years ago on . Most recent reply
4 unit investment questions
Hey all first post here. So in short who I am, I am 23 just graduated college, ive worked for my families heating oil business since I was 16 and have spent the majority of my free time working with my dad on his rental properties.
Now I have found a property I am very interested in. Its a 4 unit all are 1 bed room and 3 of them can very easily be turned into 2 br apartments. They are asking 169,900 and my Dad traditionally has always offered 20% less than what they are asking. In this case $135,920. Now my area isnt a major city are a luxurious area, its basically an average town I would assume. Most of the houses lately in the area have been selling 120-145k but there havent really been any 4 units to compare this to. Ive read lately that most units are being sold somewhere around 98% asking price, but that also included single family homes.
So my question is how realistic is it to offer a price 20% below what they are asking in todays market? Of course I understand the house is worth not only what someone is willing to pay for it but what someone is willing to sell it for. But am I totally hopeless in todays market to look at a property like this for this price?