1st time purchasing 4 plex

[Christopher Teal]

Hello all, 

I have a 4plex that I am currently looking to possibly purchase. With this being the first one for me I am having trouble making the numbers make sense. I say the first one but I have looked at several and every time I do the little 4 square methods they never make sense (not to me anyway but I am a rookie lol). The asking price of this place is $440,000. Currently, the landlord pays for a few items I am told. One (1) electric meter for outside lights is $40.00 monthly. The water bill runs about $60.00 monthly and the trash which is about $120.00 quarterly. It is currently on a septic but I believe they are having a public sewer added due to the area growing. I have no idea the best ways to go about financing this and maybe that is why the numbers never make sense to me. I feel like I find these places for sale and then shortly after they are SOLD. That tells me that someone made it work, I just don't know how but I am trying to lol. Maybe this is just not a good deal IDK. I do have options to make an offer below the asking price but what would be your breaking price for a go no go per say?

A little about me, I currently live in a home with a mortgage since 2017. Also, I own one (1) rental free and clear which I have been told was worth approximately $150,000 (market analysis). I am telling you this information because I was wondering if I could attempt to purchase this property through an FHA or maybe a regular conventional loan and "rent" my current home out. Maybe I could house-hack it or something fancy like that. The only thing with this is the homestead exemption, I think I can only have one homestead. I do not want to complicate things but I am trying to figure out how these guys get creative and think outside of the box.

The Rents are as follows:

1x1- $945

1x1- $1000

1x1- Vacant

2x2- Vacant (last rent was $1500) 

I THINK IT SAFE TO SAY THE MONTHLY INCOME FULLY RENTED IS $4390.00

Current Monthly Expenses:

Electric- $40.00

Trash- $40.00

taxes- $603.76 (based on 2022)

Lawn care- $100

Insurance- $xxxx (waiting on a quote Monday)