Need Help Analyzing This Deal.

28 unit - all 1 br
average rents - 375.00 month (all are due increases)
annual expenses 30,000.
10% vacancy
asking price is 950K.
Very stable residents, mostly older.

Comments(2)

  • paulabe71315th May, 2005

    Thanks for the prompt reply, Commercial King. I kinda figured that 30K was a little low, but even with expenses at 45K, this deal will still work, right??

  • j_owley21st May, 2005

    its been my expierience that expences are under stated.

    One way this is done is the manager records expences as they go thru the office. But the owner may take care of a few things him self, in effect hiding true costs . look behind the obvious

    John

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