For the past two weeks I have been interested in a triplex home. The owner is asking for 210k but is worth around 208k. All units are 2beds/ 2baths. It is fully rented out with 2 people paying 550 and one paying 650 (much below rent caps). One lease is up in September (550 lease) and I have 60 days to move in it from time of closing which is perfect for a house hack. In order for me to look inside the house I have to lock up a purchase and sales agreement which I worked at getting. I negotiated with seller and got the price down to 195K. The day the sellers were going to sign someone else offered more and took the deal. 2 weeks later the deal fell through and now it's back on market currently. The issue with previous buyers is that the home needed 3k in work down and the sellers didn't want to pay it. I tried offering again and offered 200k but they pay closing (5,500) and repairs (3,000). They countered at 205k but no closing and no repairs. I'm using a VA loan which is 100% financed but the VA adds on their own fee of about (4,500) which is tacked on to the loan. If I was to pay for what they wanted I would essentially be paying 218K In a mortgage with the 205k purchase price+4.5k VA fee+3k minimal repairs+5.5kin closing that I would put all into loan if I took their offer. A good amount over the marketed value (10k over). I really like this deal but numbers wise it is out of wack mainly due to the amount of offers the sellers are receiving. Also the home needs some touch ups in order for me to raise the rents to it's worthy cap of 850 based off of the market. I feel like I'm falling in love with the deal and rental potentials instead of the numbers. I told myself the most I will pay is the market value 208k but they would have to pay for those closing & repair cost. Right now I'm waiting for their response on the the 205k offer. I want to know opinions before this property is in contract again.
https://www.zillow.com/homedetails/1838-Hazel-Dr-Valdosta-GA-31602/217686324_zpid/
