Need help to evaluate an 8 unit apartment for 318k
It doesn't really matter because if you haven't set your return objectives which would help you value the property you aren't ready to buy. I'm also guessing that you have not yet been pre-approved. But to answer your question yes it is most likely overvalued because good deals do not stay on the market for 500+ days like this one has. There could also be circumstances surrounding the purchase that make it more difficult to sell.
Without looking at the property at all, or researching the market at all I looked at the listing and looked at a few things, the list price, ($318,000) how much they bought it for and when $249,000 in 2013, and how long it has been on the market, 555 DAYS! (This is not how I start my evaluations of a property, if you don't know your market well already you need to step back and research it.)
Is it worth the price... depends on your strategy; what you want your returns to be, AND only if the current investor did a really good flip and now has the property stabilized with rents at current market with good cash flow. However as @Aaron K. mentioned above, with the property on the market for over 500 days I doubt this is the case. It could be that the property is a problem for the current investor, you could try to low ball them but I doubt they will want to take less then what they have put into the property, but depending on just how big of a headache it is for them they might. The question then becomes, do you want to buy their headache??
It is a small town which is likely a big part of the reason it has been on the market so long and it is very old- 1941 according to Redfin and that can't be far off by looking at it. I would go in expecting a lot of deferred maintenance- part of the headaches Michael mentioned. Check that roof because it never rains there right?
Originally posted by @Mauris Froylan zamora:
@Michael Badin thanks for the reply how low should I throw an offer?
Not intending this as a jab or being a jerk, but if you find yourself asking the question "how do I make an offer," you probably aren't ready to buy a multifamily property. Keep educating yourself first.