A good wholesale deal for buy & hold?

[Scott Bottomley]

hi guys. Just wanted to air this deal out there.

Not currently under contract.

4 unit (2building) 2x2 bed 1 bath and 2x1 bed 1 bath.

Current combined rent is $1400 and all are currently occupied. Rented $50-75 per month below market avg.

owner pays water bill. Tenants pay electric and heat. Current owner reports 400 profit a month after expenses with monthly mortgage of $638.

Their asking 53k. Based on the numbers, it seems like a good wholesale opportunity as I'm not looking to buy and hold myself.

What do you think would be reasonable asking price? The 2% rule would put it at 70k at current rent ( but rent hasn't been raised since 1996 for one tenant). 80k would still give a cash on cash return over 11%.

Should I get this under contract? No major repairs need as all are currently occupied.

Your thoughts are appreciated