First Investment - Thoughts on 10 unit apartment complex

[William Glass]

I've been actively looking for duplexes in the Fort Myers, Lehigh Acres, & Cape Coral area of FL. Price ranges for these properties are in the 130-200k range and I'd have to live in one side in order to secure the financing terms I need for at least a year before moving on, If I go at at alone. Had an accepted offer and during inspection a few things popped up and seller's agent was withholding information and not wanting to put things in writing so I withdrew. Back to the drawing board.

I'm originally from Birmingham, AL and property is much cheaper in AL than FL. I've found 9 & 10 unit apartment complexes that are priced in the 150-200k range. Granted these properties are in low income areas, but understanding i'm buying for cash-flow this seems like it may present a better opportunity. 

If I can qualify a good deal on an apartment complex, I can raise the remaining capital. 

Looking to understand what terms you look for and how you analyze deals. Apartment complexes are all about the numbers which I like more than SFH.

Any advice from anyone who is familiar with smaller apartment complexes in low income areas? 

[William Glass]

@Rosston Smith Good point. My thinking was that I wouldn't necessarily need to raise capital at the 200k range. Anything beyond that I would need to start exploring those options and without a portfolio of deals, my assumption is it would be harder to do so without a track record. 

At the same time if I can verify a solid deal I have no doubt the money will come. Good point to consider for sure as I explore this further.