Updated about 5 years ago on . Most recent reply
My first deal a Multifamily 6 unit
my friend wants me to invest together with him in a multifamily 6 unit building,
is it a good deal?
income
Unit 1 $1,400
Unit 2 $1,100
Unit 3 $1,100
Unit 4 $900
Unit 5 vacant
Unit 6 Vacant
Parking $200
Total Income as of today is $4,700 a month, with the other 2 vacant apartments renting for $1,100 each it will be a total income a month $6,900
(he claims that he can get from all apartments at least $1,500 a month)
taxes is about $10,000 a year
Purchase price is $670,000.00
is it a good deal? It's my first deal and I don't want to mess it up on my first deal
its in Elizabeth NJ
should I do it?
Most Popular Reply
@Menachem Bloom it depends on if the building is registered with rent control or not. if it is registered, the units already have a rent amount on file and you cannot jack it up with a new tenant unless renovations are made. usually you wont have a problem with a brand new tenant especially if you are at market rent. how many bedrooms are the units?