1st time investor seeking advice for a multi-family/commercial.

[John Neal]

I’m currently trying to determine if purchasing a multifamily/Commercial combo is a good decision. The property has commercial units downstairs with apartments above. I spoke with the realtor who said all of the units being rented are “Under Market Rate”

The commercial is being rented for 800.00

And the apartments are being rented between 420.00 and 575.00.

The realtor provided the financials and the property made 33k last year after expenses the property made roughly 26k.

My hesitation is that I looked up the tax records and the building (which encompasses the commercial space and apartments) and the property is assessed at 114k which is the building and land it sets on.

The asking price is 250k.

I’d love your input on should I be concerned about the assessed value being over 100k lower than the asking price.

Thanks for any advice you can share.

John