My next deal? 9 units for $80000!

[Jaron Smith]

Hey all,

I need some guidance, I've recently discovered a house FSBO. I met with the owner and looked at it and was intrigued by the opportunity. It is an old 9 unit hotel that he has gutted down to the studs. No plumbing or electrical. The house needs plenty of work but has the potential to be an awesome 5 unit. He owns a 4plex right next door which is finished and occupied that he also wants to include in the sale, he said the lowest he could do for both is 80k, so 80k for a potential 9 units. Right now I am house hacking a triplex that I bought in July of last year.

My question to those willing to answer is how should I approach pursuing this deal without the cash to purchase it myself? Does BRRRR work without buying the property outright? Looking forward to hearing from you and I appreciate any and all guidance you have to offer!

[Greg Scott]

A gutted hotel has a high degree of difficulty.  Not only do you have to deal with the rehab, you may have to deal with all kinds of government issues from permitting to zoning.   If you don't have those skills, I would find a partner who does.