Any experienced USDA Multifamily owners out there.

[Mike Campbell]

Any experienced USDA Rural Development Multifamily owners out there.

I will try to keep this compressed; there are a lot of moving parts.

There’s a USDA multifamily I have been looking at, trying to understand the numbers and the way USDA has you run the property would require an account of special talent.

It sounds like a good deal until you start to unravel it, the rules and hurdles one has to jump over, under or go around is complex and the Department won’t really give you any information unless the current owners give them the ok, which they won’t until I make an offer and it gets excepted. Yikes!

5 units $500 each under USDA Program

Two options as I see it:

• 1.Continue through the worm holes to buy the property under the USDA program, which one can only assume current loan, the rest would have to be conventional to keep in program. Have to have min of two years PM on these types of properties or you must get a trained and experienced PM in this type of housing. All this to obtain assisted living (RENT) expenses, they pay what they can and rest is subsidized at a higher rate then local rent levels.

• 2.Buy the property out of the USDA program and it will be converted to Section 8 or Voucher program which the current tenants will qualify for but at a reduced rent and would be a whole lot simpler to manage.

Thoughts, question, opinions, advice a shoe of the side of my head, at this point anything will do.

Thanks for your time

Mike