Embarrassingly Overpaid for Rental Property. How to Renegotiate?

[David Oxandale]

Ok, so I have been stewing on this for months. I have listened to all the podcasts, read all the books, go to reia's etc....... I'll probably do great on my first property.......then I buy a property for 200K that is maybe worth 100k. Guy I know says thats what he thinks their worth (don't blame him) and will owner finance to me. Six houses, one rented, one almost rent ready, 4 need total rehab. I'm getting bled dry. Thought I could make it work. Have not opened up a talked about this because of the shame, but this is my first step. I need to approach this guy (my friends parent) and renegotiate. I have paid on them for a year. Tried to sell but get low ball offers from 60-120K.  Thoughts

[Nathan Gesner]

Tell them you will pay "appraised value" then hire a formal appraisal. If the appraisal says  $120 then you offer to pay that or walk away. I understand it's for their retirement but it's not your job to fund them. Pay what it's worth or get out from under it before it sinks you.