Would You Do This Multi-Family Deal?

[Erania Brackett]

Hello, all.  I am looking at my first deal and it is a multi family opportunity.  I'd like your feedback on this deal.  I am new to investing and have limited knowledge of construction and rehabs.

A key question I have is how much cash flow is ideal for a multi family?  What cash on cash return makes sense.

I would like to house hack and start with a property that doesn't require a full overhaul.  I am considering a multi-family.  I assume I buy it at a 10% discount and invest $40K into the property to increase rents by $100 on 3 of the units and by $300 on the largest 2/2.  The home has a 1/1 carriage house that I'd like to rent out on Air B&B to make more money on it.  You thoughts are welcome. 

[Anthony Dooley]

According to this, it doesn't cash flow. I look for at least 10% cash on cash return on my down payment, but different markets are better or worse. Pro forma projections are normally pie in the sky, so I don't even look at projections.