107 Unit Portfolio Purchase Advice Needed
Hi everyone!
Advice is greatly needed. I am relatively new in my real estate investing journey but I am ready to dive in.
I stumbled upon a 107 unit portfolio sale spread out across up and coming areas of Philadelphia, Pennsylvania.
The owner is willing to seller finance and potentially with nothing out of pocket.
Here are the figures:
Asking Price: $10,700,000
Unit Count: 107
Units are all 2-4 bedrooms with 1 bathroom
Gross Monthly Rent: $108,023
Yearly Gross Rent: $1,296,276
Yearly Taxes: $96,390
Insurance: $39,390
Water and Sewer: $91,975
Repairs and Maintenance at 15%: $186,414
Property Management at 5%: $59,473
NOI Yearly:$695,486
NOI Monthly: $57,957.17
CAP rate: 6.5%
Cash on Cash Return Year 1: 6.67%
What are your thoughts? Seller is open to financing. I was even going to propose 50% of NOI monthly as a payment.
Not sure how to tackle this.
Any advice would be greatly appreciated.
-Cat