Wanting to purchase a 28 unit apartment complex

[Mike King]

Hey there, 

I am new to investing and have not done any deals yet. There is a 28 unit apartment complex near me in South Bend that is asking for $650,000. I believe that is a bit overpriced (it includes a couple of multi-family houses next door which brings the total to 35-36 units altogether). But it is in a rougher area, though it is an up and coming area (a lot of renovations are being done in the city). 

I do not have the money whatsoever to purchase this apartment. I have been educating myself and learning about the different ways to invest but my mind is going blank now that there is a deal. The seller mentioned that they would not be interested in any sort of land contract though I did want to mention a MLO since it seems slightly different but they pretty much said they wanted cash. I don't know if receiving hard money would be a good idea nor do I know if I could even get hard money for anywhere near that much without experience or anything. 

This apartment also rents to what was described as veterans, and maybe past homeless veterans. They apparently are good tenants and haven't had any issues. Though I do not know the expenses, they said their monthly income is $15,500. So if I could just get some feedback then that would be great!

Mike

[Arlan Potter]

If you have never invested, and have little or no money, look for a smaller game.  There are a lot of traps and pitfalls when investing in multi family properties. A bank won't talk to you with no experience. Hard money is way too expensive.  Start with a small Single family.