8 Plex - About to put an offer in and wanting a 2nd opinion

[Sipo Thao]

Its going to be my first investment just to get my feet wet.  From the looks of it, its a great investment and i had run the numbers on my calculator, the cap was about 12.8%.  The neighbor hood is great, about 2 blocks over my relatives have apartments that are always full occupancy.  I am just wondering why someone would sell a property if it has such a good cash flow...do you guys see any red flags in this?

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Here is the sellers listing: 

Asking Price $290k

Projected Annual GROSS INCOME $57,000 Projected Annual CASH FLOW $28,296 Projected CAP RATE 15% Projected GROSS RENT MULTIPLIER 5.26 Projected CASH on CASH 47% Projected CREDIT LOSS ESTIMATE 3.6%

Plumbing / electrical / HVAC has received updates.

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Taxes 2014 = $4451

Insurance = ____ (not sure how much it will be yet)

Landlord is responsible for water.

I will be putting 20% down. 30yr/ 5.0%  

Currently at 100% occupancy