Multifamily question

Multi-Family and Apartment Investing
11yFollow

Multifamily question

Mason V.
Investor · Member since 2012 · 86 posts · 7 votes

when contacting a seller, what information do I request from them? Thus far I know I need the propertie's rent history for 5 years, but what else do I need that can only be gotten from the seller?

0Reply
8 views

3 Replies

Jump to latestLatest
  • Joel OwensBusiness Member
    Moderator
    Real Estate Broker · Canton, GA · Member since 2010 · 15k+ posts · 11k+ votes
    11y

    Mason depending on the property 5 years of rent history may not be available.

    What you request depends on the size of the property.

    Are you talking for example putting 25% 100,000 down with a 500k purchase on an 8 door property OR a 100 door property at 50k a door for 5 million putting 1,250,000 down?? 

    Podcast Guest on Show #47
    NNN Invest53 Reviews
    WebsiteView Page
    0Reply
  • Mason V.
    OP
    Investor · Member since 2012 · 86 posts · 7 votes
    11y

    i am thinking of 2-4 unit properties. The ones in my area are all under 200k. Anything more than 4 seems way too daunting right now.

    0Reply
  • James Kobzeff
    Rental Property Investor · Salem, OR · Member since 2010 · 30 posts · 27 votes
    11y

    Hi Mason, Ask for the rental agreements, list of operating expenses, and with your offer ask to see the seller's Schedule E income tax form. Be sure to also make an offer contingent upon your satisfaction of an interior inspection of all units, pest and dry rot, roof, financing and so forth. Also, be sure to conduct a CMA and run the numbers on the desired property to know that the cap rate and/or price per unit is comparable based upon the location, condition, age, and so on.

    1Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free