How to structure a 43 Unit Portfolio Deal?

[Thomas Bryan]

Hey BiggerPockets! I have recently been presented an opportunity from a neighbor of mine to purchase a big piece of his portfolio of 17 properties consisting of 43 total units. The properties range from two single family, 2 units, 3 units, 5 units,  a 6 unit. He currently has the 17 properties in two separate blanket loans, with enough equity in the properties to carry the down payment needed to purchase the rest. I believe we will end up around 1.6 million for a final purchase price, leaving roughly a $400,000 down payment which will be financed through the seller. How can I make this work!? It will be 100% financed. Here is a breakdown of the numbers below:

17 properties, 43 units

Purchase Price: $1,600,000  (100% financed)

Financed with lender $1,200,000

Financed with seller: $400,000

Estimated value of all properties: $2,120,000

Rents w/ 10% vacancy : $305,000 per yr

Monthly breakdown:

After taxes, insurance, and utilities the portfolio is cash positive $ 19,950 per month

Any advice would be greatly appreciated! I am working with two partners. We all have experience with rental properties, owning and managing 10 units between us currently. We all work full time jobs and have wives that work full time jobs. Salaries ranging from $45,000 - $65,000 py in a very affordable area of Northeast PA. We have researched and seen all of these properties, everything is transparent and all are within 2 miles of my home. Any thoughts, suggestions?? 

Thank You!

Tom