25 unit Apartment Building under contract in Jax, FL as of yesterday. Any Advice??

[Lamar Washington]

View report

*This link comes directly from our calculators, based on information input by the member who posted.

I Just went under contract with this seller yesterday afternoon on this off market property in Jacksonville, FL. I'm currently out of the area and in the process of getting a team to attend the inspection appointment with the seller to verify our renovation budget. This deal was analyzed with the potential rents that we can attract after the property is stabilized not the current T12 rents provided by the seller. This is going to be my first multifamily apartment acquisition and the numbers have the potential to look significantly better with cheaper financing and an accurate renovation budget estimate. Any and all feedback is welcome, and I would love to hear how these number compare to others investment criteria. I say this because I'm okay with the lower Cash on cash return (x<10%) as long as I can cashfow at least $100/unit at this stage in my life & Investment career. Obviously my criteria will change as I get older but I would to hear what other think. Thanks in advance.

[Minna Reid]

Are the projected rents $900/unit? Or current? Unless these are studios or in an extremely awful area, those rents seem very low.