Multi family Property Analysis

[Noah Kellar]

Greetings!

I would love to hear some general & personal advice on analyzing a multi family property. Specifically, in this case, a quadplex. I have been doing my research through readings & the BP podcast. What a great program for someone so ready to jump in! Anyways, I found a quadplex in my area listed on Zillow. The purchase price is at $399,900 for an 8 bed, 4 full bath, & 4 1/2 bath. Each unit has stairs to a second floor. Approx. $98/sq ft & built in 1981. Now, using the simple 10% rule, this property should produce at least 4K/mon in rent, right? I haven’t spoken with the agent yet, but there are claims on the listing that there are long term tenants in place with 0% vacancies. Sounds attractive! But… why haven’t fellow investors jumped on this? Is the price too high? I would love to get started, but if my first property is a 400k purchase, I want to be absolutely sure about it. I will also mention, this brick building is right next to its duplicate (which is also listed & at same price). Tenant pays all utilities & I would do lawn care myself. The property is in a popular area & close to good schools. Listing site estimates roughly $1,700 in mortgage, tax, & insurance with 20% down.

What are your initial thoughts? Call the seller for more info? FHA out of question since units are full? What other ways could I finance (BRRRR?)?

Thank you in advance!