I have an Off Market oppertunity and would like some advice.

[Tristan Morgan]

First off , Thanks to anyone who can help me out here with advice or thoughts.

What I have before me and was offered to me was a 8 unit apartment complex.   that's 8 units between 2 buildings.

Building 1 has 2 units rented already making $650/mo each.   the upper units would need roughly $12K in renovations before tenants could move in.

building 2 needs a lot. HVAC, electrical, cabinets, appliances and a little bit of plumbing. as well as the regular rehab such as paint and new carpets.   roughly $60K worth of work.

Owner has told me they want $110K and will let me owner finance at 4% for 5 years.  he would likely take $90K  if i offered it upright.

however this is what I was thinking of doing.   since I have a commercial property that's paid off I could pull equity from.

why not go ahead and pull a solid $175K out of my already owned property. and use it to buy and rehab this apartment complex? that would in theory allow me to have a 20 year loan or so and would help me have  a lower loan payment overall even though at a higher interest rate. as well as giving me the funding to rehab completely and build time to gain tenants. 

Thoughts? advice?  any good contractors you may know that could take this on in our region?

is there anything that im missing? or should cover first?  

again, Thank you all for any thoughts on this.

Tristan