26 Unit complex, 185k

8 Replies

Im looking to buy a 26 unit complex, its buy point is 185k, its city appraisal is 150k, its comp ranges in the 220-600k range.

Im looking for funding, but I have bad credit. My options?

@Logan Hicks @Jake Stenziano

Hey Logan

Have you ever considered partnering with someone who has a strong balance sheet

You may not control 100% of the deal but 50% of something is better than 100% of nothing

You can charge an acquisition fee to put together and management fee to run

If deal is strong you should have no problem finding a money partner

Gino

Originally posted by @Logan Hicks :

Im looking to buy a 26 unit complex, its buy point is 185k, its city appraisal is 150k, its comp ranges in the 220-600k range.

Im looking for funding, but I have bad credit. My options?

 I know your post is about funding, but I am more interested in the property itself. I am trying to imagine a 26 unit building that you can buy for $185,000. I am seeing an abandoned/condemned building with vagrants living inside. All the units are 1 bed/1bath, and it is located in a war zone. 

Wow.......a 26 unit for 185k and the city appraise it for 150k. That is either a really  good deal or something is seriously wrong with it. I have been shopping for MFH for a while now but i could never imagine getting that kind of deal in my market.  Please double check and triple check and quadruple check that you're getting a fortune. 

That is about $7,200 per unit. Think about that for a minute. I don't know the square footage .. but would be nice to see how much the square foot cost. This is very intriguing to say the least.

Logan,

Congrats at taking the initiative!

I am in agreement with Gino Barbaro,

Find a partner with the funds to back you on a deal that makes sense, build the relationship, set criteria and goals, find investments.

Also, seek out a mentor, someone who has done what you want to do.

The real key to this business is not location, but people!

-Matt