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Updated about 3 years ago on . Most recent reply
Feelings about nickel and diming for credits multi acquisition
Is $20k difference enough to walk away from an otherwise reasonable deal on a $2M property?
My friend/advisor with more experience says I am being a cheap knucklehead and that the $20k is not relative when you factor the forced appreciation and income/valuation of the improved asset(proforma), but, I think it is math and $20k is always relative and I have my criteria(4.5cap) and was very transparent about it from when I first submitted the original accepted offer, and my DD uncovered several hidden deficiencies that make the credit necessary to maintain my original underwriting numbers and even though I understand my friends rationale, I don't want to give in any more slack(adjusted to 4.4cap), than I already have...
What do you experienced multi family acquisition people think?