Need some advice on multifamily

[Ryan Neris]

Hello everyone,

Let me preface this by saying I know enough to know there are many different variables but let's assume I don't know anything.

I'm looking for general advice on two potential deals:

I'm living in a duplex that is now off market,I want to make an offer but not sure how best to structure. The owner has had this property for about 7 years and was selling it for 70k. The rent is only 550 and the place needs some repairs which I can mostly do myself. The problem I'm having is my credit took a hit and I don't have enough for a 10-20% down payment. How could I go about this?

Second potential deal: 

Building directly across the street,60k FSBO. Owner is 90 years old and owns property free and clear. It's a duplex with 3 garages. There was some fire damage but again i know how to do most of the work. He wants cash only.

This Is In Philadelphia If that matters to anyone

So hard money,subject-to,seller financing?

I really have no clue

Thanks in advance,

Ryan Neris

[Ali Hashemi]

deal#1 - why do you have to put 10-20% down, is that what the bank is requiring bc of your credit? Since it will be your primary residence and since it's residential you could do an FHA loan with as little as 3.5% down.

Give the bank a little incentive and do a 15yr with 5% down. 

Deal#2 - talking about financing the first deal I can only assume you don’t have the cash - so doesn’t that eliminate deal#2?

Plus fire damage...hmm...how good are you at estimating construction costs? Could really bite you if you’re just taking a guess.