I am looking at a 4 Unit apartment complex, vacancy is at 100% - total monthly rent is 2500$ - price listed to sale is 250K, but I think I could get them down to 230K. However the location is determined a 100 year flood zone. Should this be something worth looking to invest in? Or should I not risk it?
@Brittany Langley being in a flood plain isn’t in an of itself a deal breaker. Ask if they have an elevation certificate to certify if the finished floor elevation of the bottom units is 1’ or more above the base flood elevation. If it is, then you won’t be required to carry flood insurance.
Also, make sure that flood plain is for the new-soon-to-be-adopted FEMA maps. They propose and preview them a few years ahead of time and I think we are due for a revision.
@Brittany Langley, see what the flood insurance will cost and if it works with your numbers. Personally, I wouldn't feel comfortable going with out. "100-year floods" are likely to happen much more frequently as climate change continues.
As an aside, you wrote that the property has "100% vacancy." So it's completely empty?