Why do sellers sell good rental properties?

[Anita Parsa]

I'm looking at a multi family unit which would be a turnkey rental opportunity for me.  I'm a total newbie so I've run the numbers two dozen times with conservative assumptions on everything (high vacancy, high repair costs, etc.) 

All three units are occupied; two through spring and the other is month to month. The building is well maintained with lots of updates and is in a good location.

The numbers look pretty good which makes me if I've missed something important.  As a new investor I'm not confident in myself yet and I wonder if I'm missing something that should concern me.

The seller told my realtor that he's selling because he wants to concentrate more on vacation property around a nearby lake, so maybe he needs the equity from this property to expand his more profitable vacation property?  Is that believable?

Newbie is nervous :)

[James Wise]

Originally posted by @Anita Parsa:

I'm looking at a multi family unit which would be a turnkey rental opportunity for me.  I'm a total newbie so I've run the numbers two dozen times with conservative assumptions on everything (high vacancy, high repair costs, etc.) 

All three units are occupied; two through spring and the other is month to month. The building is well maintained with lots of updates and is in a good location.

The numbers look pretty good which makes me if I've missed something important.  As a new investor I'm not confident in myself yet and I wonder if I'm missing something that should concern me.

The seller told my realtor that he's selling because he wants to concentrate more on vacation property around a nearby lake, so maybe he needs the equity from this property to expand his more profitable vacation property?  Is that believable?

Newbie is nervous :)

Focus on the property and what it can do for you as opposed to what the seller's deal is. There are an unlimited amount of reasons that someone would need to sell. Could need money, could be getting divorced, could hate being a landlord, could have inherited the house, could be moving etc...None of that really matters. It's either a good deal or it isn't. Focus on that.