Can I use SBA loan to acquire 10 unit building?

[Steven J.]

Hey everyone,

I'm looking into a property in northern MN for my friend and I to possibly go 50/50 on. Its a 10 unit apartment complex pulling in roughly 570 per unit and the asking price is currently 360k - probably can negotiate down as it sounds like a landlord looking to be done with that property. Problem is neither of us has the required down payment needed for that type of large property. How would I go about setting us up for an SBA loan and what what I have to do legally to prove we have a business rather than just a loan acting as a business? Is that even legal to do?

He currently lives in it so he can be the property manager, or take on some of those duties.

Also, what do I ask for to see from the seller besides the rent rolls? I've not yet done a currently renting property and I could use some catch up on the topic of how to property analyze the numbers.

Thank you,