7 Unit To Start With

[John Varner]

I have been on the lookout for a good first rental purchase in the OKC area.  Was looking for multi family and came across a landlord looking to retire, selling a seven rental property for $89,000 outside the metro area.  6 units rent for $400 and a house rents for $700.  Not sure of condition or current tenants, but is it crazy to actively pursue this one for a first property?  I'm thinking even if I had to put 20% and about $50k into updates, this still brings in $3100 a month in rent, leaving about $2000 after expenses.  Thoughts?

[Kevin S.]

Not crazy just a good find.  

You can do one of two things, get them under contract for a wholesale flip or start looking for a lender and a good property manager.

My first was 23 SFR homes but, I started by finding a quality property manager and asking about properties or portfolios for a sale. Closing one property is just as stressfull as closing 20.

Just run all of the numbers and get copies of leases, past 3 months expenses, taxes and insurance cost and you should know if the deal is right for you.

Good luck, and all upvotes are appreciated!

Check out my bio if you have interest in TX.