Grand Rapids expantion

[Nick Watkins]

Hey Everyone,

I currently own a small portfolio and have the ability to expand, but looking for some insight!

I have a mentor that owns around 250 units in the Grand Rapids area and is starting a slow sell off. 1 of them is a 65 unit complex he is willing to sell to me in 5 years :) long term goal. He offered me one of his 8 unit buildings and we both have concerns....business/friendship, usually don't mix. he has taught me never to get into a balloon payment and the only way I can find to do this deal is commercial financing, so that's question 1. any other ideas for financing?

2nd ? quick look at numbers

Purchase with my "friend/by owner sale" discount!

320k

625/unit  60k/year  I own a duplex 1 street over that is currently at $925/month each unit

taxes are 6600.....will be 9200/ year at new purchase price

utilities 2400/year

maintenance/landscape 2000/year

300/ year inspection fee renews every 4 years.

I am unsure if I want to put up one of my homes for commercial down payment for this return.

Also I have a friend with a 4 unit I can get conventional financing on and am leaning more towards that... suggestions on how to get both lol?

4 unit #s

185k purchase

$700+ each unit..... potential around the 900 area!

Thanks,

Nick