Purchasing 20 Condos, Negotiating Terms

[Britt Griscom]

We own 16 condos in a complex in Santa Fe, NM. We have the opportunity to buy 20 more using seller financing at 10% down with the rest amortized over 30 years at 9%. We are negotiating each of the terms. 

Some of the possibilities offer a net of $100 per condo per month, and others offer only $50 per condo per month. Would you take a deal like that that offered a 26% return, but only $50 per condo per month? Would you pay 9% interest? Would you pay over market price if that gave you a 15% return?

Right now they rent out for about $675 per month each, but with about 5k in capital expenditures, I could probably get $725. His terms are much more palatable if I just rent them as is, without fixing them up, at least initially. Then I could fix them up gradually as we save up the money. Is that a dumb way to think, and should I assume the capital expenditures in contemplating the deal?

Here are some different possibilities:

https://docs.google.com/spreadsheets/d/1dJ_qq9lOho...