4-Plex Deal - Negotiate price and raise rent

[Nathan Klettlinger]

Hello,

I am looking for your thoughts on a 4-plex deal in Medina, Ohio 44215.  Each unit 2 bed 1 bath.  Owner is asking 235k and it was built in 1995.  2units are long-term renters at $575/mon (since 2010 and 2004), both mon-to-mon) and one unit is a shorter term renter at $595/mon.  Monthly operating expenses including $200/mon long term replacement reserve is $1006 (owner pays trash/water/sewer/landscaping).  The deal looks more reasonable if I can get $625/mon per unit and get the units for $200k.  Probably needs a new roof but otherwise no major repairs.

1) Can anyone share successful negotiation strategies for lowering the price of the units?  On the market for 269 days at same price.

2) What is a reasonable and ethical way to increase the rents, especially for long-term renters?

3) It seems banks want at least 25% down for a 4-plex.  Does this sound right?

Thanks and have a good week  - 

Nathan