So this is my second deal I am looking at. The first one was what not to buy so i passed. 

Details  

Listyed as a "4 Unit" is really a 4 sfr row home

asking price 168,000

rent rolls are total $2,500 which is under market by 100 to 150 per door

has a 5 stall garage that is not being rented out and the tenants are being allowed to use them free and clear this will change too 

taxes are 9,000 per year which covers trash and water on all units

Roof is 10 years old

all units have been upgraded to breakers from fuse boxes

1 furnace needs to be replaced ( Low cost due to I have a friend that does Heating and Air and My uncle owns a wholesale HVAC company.

My challenges are 

1. This is owned by two people from the same family (My cousin owns one and his in-laws own the other 3)

2. First time investor (don't know if this is really a challenge

2. I am being told it requires 4 separate mortgages because they are all deeded desperately

3. I have the %25 required down but would like to try to not use all my money so I can invest in another property in the near future.

Things I have thought of doing

Have them get the whole property deeded as one. I don't know if this is possible with two separate owners.

Hard money to purchase, get it deeded as a 4 unit then refinance to a conventional mortgage (worried I would be stuck with Hard money and lose the property.

Try to find a private money lender instead of hard money and do the same. Get re-deeded as a 4 unit property.

Any advice or help is most appreciated

I would suggest to buy 1 at a time. Start with the cousins. Once you qualify, close, and rent you show an income and in a year you can refinance. Then use that money to buy the second. And repeat until you have all 4. Just agree with your aunt on a price now. Dont merge titles or you will have issues later if you ever wan t to sell

Originally posted by @David Steinbok :

I would suggest to buy 1 at a time. Start with the cousins. Once you qualify, close, and rent you show an income and in a year you can refinance. Then use that money to buy the second. And repeat until you have all 4. Just agree with your aunt on a price now. Dont merge titles or you will have issues later if you ever wan t to sell

I forgot to mention they want to have one sale not break it up. Both people want to get out of the property. Retirement. 

Originally posted by @David Steinbok :

I would suggest to buy 1 at a time. Start with the cousins. Once you qualify, close, and rent you show an income and in a year you can refinance. Then use that money to buy the second. And repeat until you have all 4. Just agree with your aunt on a price now. Dont merge titles or you will have issues later if you ever wan t to sell

I would agree, try buying one at a time. You're brand new to investing and it will help you gain experience while you learn and work through owning a property and a rental. However, if it's a great deal and the opportunity to buy is now, you do have the option of getting a "blanket loan" where you can get 1 loan at 1 interest rate for all four parcels. There are banks that lend based on the pro forma of the asset itself and while you still need to qualify, they look at the asset more than they look at you. I would agree not to merge. Another benefit of keeping them separately parceled, is that you can sell them off as needed if you want to in the future rather than having to sell all 4.

Good luck!

Originally posted by @Chris Streifert :

So this is my second deal I am looking at. The first one was what not to buy so i passed. 

Details  

Listyed as a "4 Unit" is really a 4 sfr row home

asking price 168,000

rent rolls are total $2,500 which is under market by 100 to 150 per door

has a 5 stall garage that is not being rented out and the tenants are being allowed to use them free and clear this will change too 

taxes are 9,000 per year which covers trash and water on all units

Roof is 10 years old

all units have been upgraded to breakers from fuse boxes

1 furnace needs to be replaced ( Low cost due to I have a friend that does Heating and Air and My uncle owns a wholesale HVAC company.

My challenges are 

1. This is owned by two people from the same family (My cousin owns one and his in-laws own the other 3)

2. First time investor (don't know if this is really a challenge

2. I am being told it requires 4 separate mortgages because they are all deeded desperately

3. I have the %25 required down but would like to try to not use all my money so I can invest in another property in the near future.

Things I have thought of doing

Have them get the whole property deeded as one. I don't know if this is possible with two separate owners.

Hard money to purchase, get it deeded as a 4 unit then refinance to a conventional mortgage (worried I would be stuck with Hard money and lose the property.

Try to find a private money lender instead of hard money and do the same. Get re-deeded as a 4 unit property.

Any advice or help is most appreciated

 Ask the sellers if they would work together to make it a legal 4 unit.

Should be okay if they don't have liens on the properties.

Portfolio lenders will be your best bet for this one, particularly if the properties are right next door to each other.