9 unit propert owner financing

[Jeffrey Edmiston]

So I found a property that I’m curious about. I don’t think I am in a position to buy it but I’m very curious if it is a good deal, so that if in the future I come across something like this again, I would be better informed to possibly move forward. Thank you in advance for any help!

Property is 2 separate buildings on 1 lot/deed

Corner lot on heavily trafficked main rd

2-4 miles from expanding college university

1,100 rentals in area and 3,300 renters aprox

Which is struggling to keep up with the demand for rental properties.

1st building has 7- 2 bedroom 1 bath apartments. Tenants pay electric and possibly gas

2nd building is a twin with 2- 3 bedroom1 bath units. Tenants pay all utilities inc water & sewer.

The taxes are $11,505/year

Tax assesed at $300,000

It’s rent controlled

100% occupancy

Built 1900

15% cap rate

Property has newer roof

Asking price $699,000

Owner wants to do owner financing

I have no info on what the current rents are but I’m pretty confident that end rents could be

$1000 per 2 bed 1 bath units ($7000 total)

$1200-$1300 per 3 bedroom 1 bath units possibly more. I’d say these numbers are conservative. ($2,400-$2,600 total)

Estimated income potential $9,400/month

I’m am new & learning so I don’t even know how to properly analyze this property. I am unsure of the overall condition of the building & inside of the units because I am just going off of what’s written on the listing. My goal is to better understand how to assess this property and know if it seems like a good deal or not. Again, thank you!