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Updated over 3 years ago,
Apartment Deal Numbers
I have a 10 unit apartment complex that I am looking at and this would be my first time looking at a deal of this size. I have already started talking to the bank for financing and am working on syndicating the down payment. The bank is asking for some basic information on the property but the seller is very casual with his financial statements. Seller is claiming not to have any P&L statements or even rent rolls because they don't claim all the units due to cash payers. Seller told me what he makes per unit and told me to "write something up" and he would sign off on it.
Question 1: Is this okay to do as long as the numbers are accurate?
Question 2: Will the bank be okay with this/should I even inform them?
Question 3: What other due diligence should I be looking to do or resources to dive into understanding and evaluating apartment dealings?
Thanks in advance,
Taylor Dalton