T - I'm in the field today, will get back to you Friday.
I think you've got a decent deal granted no significant further work is required of the property. In general, the 50% & 2% rule in California will be hard to come by at the present time and if someone did find one, it was likely not found online but through relationships, some sort of pocket listing, or seller motivation. By the way, what is the seller's motivation, if any, for selling? Sometimes this may help you get better terms. Any reason for 30% down in particular?
Generally, we have to adjust our expectations to the market or housing cycle we are in. Prices are different in every market & at different times.
The question is what returns are you willing to accept based on where you choose to invest.
@Aaron Montague , very strong buyers w/ solid multifamily in good markets (at least Bay Area) can get a 5/1 ARM around 3.0% with a good downpayment, so there's even more "gravy" in there than those numbers, which is part of why MF is so hot right now... it's amazing!
You should come out to the Massive RE Investor's Summit I'm organizing in the Bay Area around October of this year! Please post on the link below if you're interested!
I don't know anyone on BP, just became active on the site.
The deal pencils pretty nice if the deferred maintenance is minimal:
I was just about to hit send when this report on the Sacramento apartment market from MPF research came in: http://www.propertymanagementinsider.com/sacramento-apartments-putting-up-strong-numbers.html (You may have to register to see the video but it's free)
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