Brand new to REI-Opportunity to take over est. business

[Cole J Romero]

Hi, 

I'm brand new to REI. I don't currently have any properties and have been researching/educating for the last couple of months. Made one offer on a SFH in my town but couldn't get to a number I felt comfortable with.

My wife and I have been communicating our interest in REI with family and friends over the last couple of months. This led to a family member connecting us with someone who has an established business of 8 SFH rentals. They are having to sell the properties for personal reasons. The properties are spread out through our county, and I would say, to the best of my ability, are mostly all C properties (maybe one B). The have not been listed with a realtor yet, and he has mentioned that he has some other word of mouth interest. Located in south Louisiana.

Lower end of property appraisals per Landlord and current rent

#1-135k at 950 rent

 #2-135k at 900 rent

#3-95k at 650 rent

#4 85k at 550 rent

#5 & #6 are two separate houses on same lot each at 80k and 650 rent

#7 175k at 1000 rent

#8 50k at 550 rent (this one has recurring foundation issues)

Landlord mentioned he thinks some of the properties could tolerate a small increase in rent. He bought these low and fixed them up himself. He has several long time tenants and we are thinking he kept rent down to retain his good tenants. My first impression is that there isn't much for me to work with here. He carries a group policy for insurance that covers fire and liability. However, we have significant hurricane activity, and I don't know if I would feel comfortable not having storm insurance (which is very costly). As a first time investor, my thoughts were to possibly try and pick up a couple of the better options, if any. I'm sure the owner would be more willing to negotiate if more or all of the properties were involved. That just seems intimidating. Appreciate any input and look forward to expanding my knowledge on bigger pockets!