My name is Zach Langley, and I’m a licensed realtor based in Dallas, TX.

A and B neighborhoods typically don’t produce much cash flow and are more of an appreciation play—something the city has been seeing quite a bit of over the past decade.

I was told initially that commercial deals(5 plus units) were based more off income property is producing than personal credit/finances but that's not entirely true.

In the meantime I would touch base with lenders and get the financing squared away.

Based on your estimated monthly "passive income" of $2,532 that you'd pay an investor, I'm estimating the investor would contribute around $380,000 to the acquisition, is this correct?

The out of the box strategies and set ups sold will never replace customized AP/Tax strategies based on individualized circumstances. 

On the surface, the deal seems appealing, but there's a catch: the asking price is $475,000, which is about 18% over the market value (based on comps and DealCheck estimates around $402,000).Details of the DealProperty: Duplex, 2,400 sq. ft., Purchase Price: $475,000 ($197.9/sq. ft.).Estimated Market Value: $402,000 ($168/sq. ft.).Financing Terms: 2% interest rate, with a 9-year balloon.Unit B Income: $2,049/month (Section 8 tenant through November 2025).Unit A Income Potential: Similar rent or higher; Section 8 cap for the area is $3,234/month.Monthly Loan Payment (P+I): $1,386.Cash Flow Breakdown (if both units are rented at $2,049/month):Gross Rent: $4,098/month.Vacancy (10%): $410/month.Operating Expenses (37.3%): $1,376/month.Net Cash Flow: $943/month.Key QuestionsWould you be comfortable paying an 18% premium for financing at 2%, especially in a market where current mortgage rates are closer to 7%?

For instance if you buy a duplex and plan to significantly renovated it.

Obviously tough to give advice based on minimal info and no info on your personal situation.

I believe its an epoxy based paint. 6.