Running numbers by public record bedrooms or rented bedrooms?

[Kyle Curtin]

Hi guys!,

I have a question that I would love to hear the communities thoughts on! So I have an off market opportunity to purchase a 4 family in a nearby market that has 9 bedrooms on public record.

HOWEVER,

The landlord has 18 bedrooms in that property that he is currently renting out separately to dominantly college students and is bringing in an absurd amount of rent. He is asking a pretty high price because he is an investor himself and knows he has a “cash cow” , but I started running comps yesterday to see how reasonable that asking price was and they were a little difficult. There were many comps that had 12 bedrooms or more, and the price-point were all over, but not many with only 9ish bedrooms.

I wanted to ask, would it be wise to consider running it to similar properties around 18 bedrooms and be able to use those as good comps, or will the bank/appraiser just use the 9 bedrooms from the record?

Thank you very much!

Kyle