Updated over 6 years ago on . Most recent reply
Need help deciding to buy multi-use blg (5 rentals and 4 stores)
I have a motivated seller that I personally know. I lived in this apartment complex 12 yrs ago. 5 rental units in top of bldg and 4 stores on bottom of bldg. Contract with real estate agent ends in a couple weeks and she doesnt want to go that route anymore. She is very motivated to work with me. She's asking $895K. Cap rate is 7%. NOI is $6200. Still need to figure out ARV. She's willing to meet to talk but I feel like I am missing some questions to ask. What should I ask? What options to give her? What sale strategy would you take? I believe Illinois has a new law that owners will have to pay significant amount in tax depreciation if sold outright so she'll have to pay a lot. I want to help her. I havent done any deals yet and everyone says wholesaling is first place to start. I don't necessarily argree. This is a very profitable property in a growing area.
Thank you