What do you think about this deal

[Aaron C.]

Hello everyone, well I have been wanting to get into real estate investing for a while. I'm looking at this  multi-family property and I just want to get people's opinion  on this deal. So option 1 is the current rent and option 2 is what I could raise the rent to, but it will be a little higher then my competition (so maybe I need to reduce it a little bit to be conservative). They are asking $595,000 for it, It does need some repairs. But when I run the numbers and if I'm reading the spread sheet correctly, based on the Rent Income and Expenses I should be offering around $450,000 to $480,000? But, what I would like to do is offer below the $400,000 so down the road I could refinance and recoup my down payment. I pulled information on this property and it recently sold in 2014-2015 for $194,000!! There are 4 tenants that have been there for more than 2 years, 1 moved in early this year and 2 new recent tenants less then a month.

On the expenses Property Management Fees, I just lumped their total expenses in that category that consist of Water, Trash, Gardner, insurance, etc...

Repairs and Maintenance is what they spent from 2016 to 2017 currently

Then the real estate taxes

So what does everyone think about this deal? What I'm missing? I think it's way over valued...What would someone offer? Place was built in 1970

Thanks and excuse the typo's in the spread sheet and this thread.