Multi-family Inspection cost

[Chad Chandler]

Hi

Evaluating a 6 unit apartment building. Trying to determine the closing costs involved as well as the cost for a property inspection. Any feedback would be helpful. Attempting to purchase my first multifamily so I am unaware of some of these costs. I'm assuming they will be a good bit more since it is considered commercial?

[Rich E.]

Chad,

I can't directly answer your question but I never use an inspector for apartment buildings.  I feel that inspectors add little value for the cost and have no liability if they miss something.  I pay the contractors/repair people I use to go thru the units with me.  They use like the break from doing hard manual labor and it gives them a little stake in the decision.  Also, they learn about the property they will be working on at some point in the future.  Things like where the shutoff valves are located, etc.  Also, as I go thru each unit, I ask the tenants a lot of questions.  Usually, they are more than happy to tell you about everything that is broke.

Hope this helps.