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Thanks, Dominic. I've already seen the difference in the banks response. When I asked about buying the building and a business loan, I got a "that's going to be tough" response. When I called the next bank and just wanted a business loan, I'm fine. So I hope and pray that the owners will lease to me, it's what they tried to do in the first place. If not, I'll find an investor to buy it and lease it to me.

Thank you for the response :)

Nikki

I think the lightbulb just went off. I get it now. My sister opened a business in a leased space, and now she's not making it and wants out, but is stuck in a lease for another year...so I didn't think of vacancies in that way.

I think my only hope at this point is to wait/hope she drops her price, and then maybe I can get a loan for it...

The current owners paid cash 2 years ago and then rehabbed it themselves (to reopen a successful cafe they had run for years in another location, but one sister got married and left town, so they aren't going to reopen after all)...so they aren't losing a ton of money every month...

Vacancy wouldn't really be an issue - its a one shop place, and I'm it. Am I missing something else?

Maintenance and utilities are already in my occupancy budget, so I get those. But if there is no lawn to cut (building pretty much covers the entire lot), then there is no expense, right? There is a roof garden on the second floor behind the apartment...I have a landscape designer to build and maintain that for readings and events!

Sorry to nitpick, but I want to make sure I understand the numbers before I write them into my plan.

Thanks!

Oh my gosh - thank you so much. I never could've done that.

$3600 a month for expenses is a lot! Are taxes and insurance really that high?

But thank you again for running the numbers. I'm going to plug them into my budget and see what happens. :).

I have no idea what the rent is...there's space for my store and an apartment that I would live in (and not pay myself for the first couple of years) and thats it. The people that own it renovated it for their own business, then decided not to do it. It's empty now, and I would be the only tenant. I guess the rent would be whatever covers a mortgage payment and expenses, with a little profit tossed in, right?

I'm asking them to lease to me now...just haven't gotten an answer yet.

Thanks!

I am not a real estate investor - what I want to do is open a bookstore/cafe and bar. I found the perfect building, but the banks are not into loaning me money for the store AND building.

My question is this - would it be possible for me to find an investor to buy it, then rent-to-own it to me over the long haul? Would the investor make enough money to consider the deal a good one? Would I lose money?

The asking price is $550,000, appraised at over $800,000, what does this mean? The building has been on the market for 8 months. I'm not sure what else would be considered important, so just ask me if you need more info to asnwer my question.

Thanks!
Nikki