Advice on negotiating 4plex purchase

[Mike M.]

Looking for advice on negotiating purchase of 4-plex. Property is currently vacant. I am looking at it for buy and hold or possible flip. It is rent ready, except there are no appliances.

Seller is mortgage holder who took back the property from rehabbers after they a rehab flip failed (apparently due to price decline) and then they failed to manage the tenants.

Seller evicted all the tenants this Fall and has no desire to manage the property. Has RE agent, as do I. Listing says "motivated seller, bring offers".

Total rent est is $35,000/yr with owner paying w/s/t. Seller is asking $170k, which is market value.

I am closing on a 2-unit in same area (not as nice property or neighborhood but same rent) for $65k (25% discount from mkt price).

Where would y'all start on this? I feel like starting at $120k. I'd like to get control of this property but I want to know where the risks are.