Finding the "Right Deal"

[Matthew Simmons]

Hi, my name is Matthew, I am from Pittsburgh and I am new to both REI and BP. I am primarily interested in long term buy and hold rentals. I have spent the last 6 mos reading/watching everything I can, to try and learn the craft. I have toured more than 50 Multi-Fam properties and I have honed in on a few that I think have the most potential. However, I don't feel like I'm getting a "steal". To buy the properties I am interested in, I will need to be between 85-90% of the asking price. This is coming from my RE Agent, who is also and investor, and knows my market very well. I feel so often when I listen to podcasts or read about successful investors, it often starts with a "they practically gave it to me...." type story. That isn't happening for your boy. At least, not yet. If I am conservative with my Cap x, management, repair expense and find a property that fits the numbers I am comfortable with; in terms of Cash flow, COC return and Cap Rate etc. does that necessarily make it a "good deal"? I honestly can't tell if I'm being a wuss or just appropriately cautious....