Need help with trying to evaluate & purchase property

[Katrina P.]

Hi everyone,

I wasn't sure whether to put this one in the buying and selling forum, or creative financing. I've located a package deal that has 5 properties for asking price of $85k. The gross rents are approximately $3k/mo. All are single families, so landlord pays no utilities. The owner has a mortgage on 3 of the properties, which I assume he's trying to get out of (not sure if he's trying to also make a profit on them or not, but likely so; he's not interested in a short sale). The other two are free and clear, and he says he'll accept a land contract on those...

So please help me figure out how to put together an offer on this one, and how do I finance it? Should I try hard money for the whole package and offer him less for the whole package since he'll be getting cash? Or do I try to work out a LC with the two free and clear, and conventional finance the other 3? Also, what questions should I ask him? My brain feels kind of fried right now, so I need help thinking through this one.

Please help.

Katrina