Evaluating a Multi Unit Building

[Matt Faix]

BP Community - When evaluating/purchasing a multi-unit, are you typically paying the Present Value or Future Value. Everything I've seen/read to date has said to buy at the current value, however many of these properties are marketed at their future value. We're looking at a deal right now listed with the following numbers: 

4 Unit Building - Asking 49,9

Future:

$550+ per unit = $2200 per month income.
Yearly income $26,400
Taxes $4250
Utilities $5150
Insurance $650
Total expenses $10,050
NOI $16,350

Actual:

Unit 1-3 = $1275/mo (Unit 4 - Vacant)

Gross Operating: 15,300

Taxes $4250
Utilities $5150
Insurance $650
Total expenses $10,050

NOI: $5,250

It also needs about 18k in repairs. 

Any input on this deal and general evaluation tips would be greatly appreciated. Thanks!  

[George Smith]

I can see trying to buy in up and coming neighborhoods for appreciation but I would never base my cash flow analysis on future numbers. What if it doesn't appreciate as projected and you've got little to no cash flow?