Newbee Real Estate Investor

[Sanjay Mallavarapu]

Hello All,

I am new to Real Estate game and I really appreciate any help I can get. I am buying my first rental property. Here is my situation...I am interested in a multifamily house (Triplex) with a list price of $200000. I compared the subject property to similar (same number of beds/baths, similar sqft) properties and they were recently sold between $145000 - $165000. So where do you all think I should start negotiating the purchase price ? Are there any techniques to negotiate a fair purchase price?

BTW..This property meets all of my criteria which is: 1. Cap rate between 8 - 10%, 2. Cash flow: 150 - 200/month/ unit, 3. Tenants pays all utilities, 4. close to public transportation, 5. Class B property. Am i am missing any important criteria ? Any help is much appreciated.

Thanks,

Sanjay