Negotiating Purchase of Several Rental Properties

[Brian Campbell]

I will be meeting with a seller of several rental properties. Her husband just passed away and she would like to sell 12 rental properties. I will be visiting with her to find out what she needs but I'm guessing she just wants to get the cash and move on. I believe she wants to sell them for what the county assessment is on each property. I will want to have a minimum of $200 cash flow per door ( a couple of them are duplexes) after PITI. I currently own 15 rental properties and this formula has worked well for me.

What questions or information should I try to get when I sit down with this seller? I will be asking her about the possibility of me buying on contract for a year or two them paying her off. 

Could use some help here if you have any thought about questions/info I should be getting?

Thank you!

[Ryan Gillette]

If it were me, I would start the conversation with a coffee and try to understand what her goals are, what her timeline is, where the properties are, and what their rents are. I would use that to make a fair proposal that's transparent and as best explained as possible. The two difficult things in this type of negotiation is (a) the shark factor (b) her possible lack of RE knowledge. You don't know if she (and her children) will view you as a real estate shark trying to low ball a vulnerable recent widow. More so if they don't quite understand real estate. I'm not saying you'll face that, but the more you sit on her side of the table, the easier it might be to find a deal that works for both of your goals.