First BIG Deal. Help!

[Lou Ruggieri]

Okay so this is my first post here so if I am posting in the wrong forum, I apologize in advance. Basically, I need advice and help. I have a few residential multifamily deals under my belt, but it's time to upgrade to something bigger and I think I found it. But, as with any giant step forward, there is a tremendous amount of trepidation. So, I'm hoping with some help from some experienced people on here to avoid any major red flags or pitfalls.

So without getting into to many specifics, below is the the Income/Expense sheet as well as the rent roll. This is a 24 unit complex with 4 vacancies. Gross rents at the moment are $14,400/month.  There are no major fixes needed as of yet that I can see from the onset (this obviously needs further inspection). But my initial question for you all is aside from the leases being out of date, is there anything on these sheets that looks suspicious or does it raise any red flags to any of you? I'm working on coming up with an offer, but before I do, I want to make sure I'm not missing anything.

 The asking price is $685k.  Thoughts?

[John Leavelle]

Howdy @Lou Ruggieri

Questions, Questions,  too many questions.

I will not cover what has already been mentioned.

What they provided you is B.S.  You need actual historical data.  Last two years worth at least.  P & L statements, Schedule E tax returns, and Rent rolls with a history of payments.  How long have the 4 units been vacant?  Why?

 Any past Capital Expenditures?  What is age and condition of the property?   Have you walked the property any?

Are all current tenants on a month to month lease?

What is the Market Rental rates for the area?

Did not see expense for Property Management?

Hope these help to clear the fog.

Good luck.  :)