What to pay for existing, cash-flowing properties?

[John Timmerman]

I'm in Syracuse, NY and have a portfolio of properties I'd like to buy. Market value for all 3 properties (1 single, 1 duplex, and a 5-unit) is about $400k; net cash flow is about $60k a year, and seller is asking $825k (which is very high).

What is fair and typical to pay for an existing investment property with tenants already cash flowing? 

[Joe Splitrock]

@John Timmerman I think the confusing part here is you said market value for all three properties is $400K and seller is asking $825K. Market value is what the properties are worth in todays market. That means the seller is asking double fair market price or you are misusing the term "market value". 

Their net operating income isn't including repairs, CAPEX, management or vacancy. In fact, the 2021 don't even appear to be precise numbers, because they are all even numbers. Since 2021 has already passed, they should have exact numbers for 2021 and it is hard to believe they had no repairs or CAPEX across 8 units. This is pretty common with real estate agents. They put up some fluffy and unreliable numbers to make the CAP rate look great. I wish they wouldn't do this, but they hide behind the declaimer, "All information provided is deemed reliable but is not guaranteed and should be independently verified."