8 door Sec 8 opp. for $640k asking - cash flow of $100,800
Looking for advice:
8 door MF unit in Boynton Beach, FL - asking $640k, 100% occupied with Sec 8 tenants - monthly income of $8400. Haven't figured out why owner claims gross income of $91,740 yet but all of my analysis has been done on the $100,800 based on $8400*12. Taxes at $6017 and owner states operating expenses at $13,470 and total expenses @ $19,487 with net operating income at $72,253. Property needs approx. $20-30k in improvements based on a simple drive by viewing. When I run my analysis with 5% vacancy, 5% capex, 5% repairs, 10% management and 6% property taxes I'm showing $2600 in monthly expenses before any kind of financing. I have approx. 200k cash that can go into purchase and repairs but I'm running into a couple of hurdles. First, I haven't found anyone willing to refinance the deal without 2 years rental and ownership and I hate to take hard money out longer than a year on the deal. I'm open to any and all ideas on the creative funding to make a deal like this happen so perhaps somebody out there with more experience/creativity can chime in. I have no intention of offering $640k but the cash-flow on this opportunity made me feel like I should at least see what everyone else had to say.