16 units-How much are they worth per unit?

[Jordan Vires]

Greetings Bigger Pockets Members,

There is a local seller with a 16 unit complex that he is asking $899,000 for.

This price is way too high and he knows this, he has already knocked it down from 56k per unit to 50k per unit after one email. Which knocked off 100k from asking price. I offered 35k per unit and he countered with 50k per unit.

These units rent for $550 per month and they stay 90-100% occupied.

Would the magic number per unit be in this case?

Taxes are $5600 per year or $467 per month.

Insurance is running him $650 per month.

He is also willing to owner finance 50% of Sale price.

This would be my first set of apartments. I think at around 600k or less there may be a deal here.

Any thoughts, experiences, or advice greatly appreciated!

Thanks

Jordan