First Time Buying An Apartment Complex (Noob)

[Jesse C Carpenter]

Hello everyone. I have a few questions about a deal I'm looking at currently. There would be no way to pull it off with a conventional loan as I'm cash poor. The deal is a little over 6m. I'm trying to get seller financing as the owners own it free and clear.

My question would be, what constitutes a good rate to negotiate at that price? The rents are under market, but it still makes around 50k/month. I was thinking to offer a 40 year amortization with a 7 year balloon. It would be around 13-15k to the owner and insurance quoted me 8k/month so it seems like a decent deal. I already have property management lined up (8%). Are my numbers off? Or would trying to find a partner interested in the deal and go conventional work out better? Is this deal big enough for a syndication instead? I own a triplex so I'm not entirely new to real estate, but this seems to have potential to ruin me if I'm not careful. So I figured I'd ask for a second and third and fifth opinion. The buildings are in good shape.

Any and all tips/things I should be aware of going into it would be infinitely helpful!