Quote from @Jaycee Greene: Unless you already have a capital reserve fund that will pay for unforeseen, major expenses, like a new water heater, roof, or A/C unit for example, I'd keep the profits in the account until it can cover 6-12 months of operating expenses.

The top unit and rest of the townhouse is completely unliveable without renovation, the only liveable spaces are the two studio apartments that the tenants live in.

I have four units just like this and have a decorative fireplace is not an issue, at least in my area.It is quite standard in rentals to not offer a working fireplace for cost and liability issues. 

We want to make the jump to our first true multi fam property 20+ units.

Everything I've purchased personally, including a recent 4-unit purchased last month, has been heavily cashflow negative initially and it usually takes a good amount of work to get it to cashflow or break even within a relatively short period of time....6-12 month approximately.

Without knowing the specifics of the neighborhood or property I would expect it to appreciate the same as other 1-4 units in the area over the next decade.

(His profit is in the entry fee) He owes 3 months missed payments and I offered to catch up the arrears, bring the loan current, and take ownership.I myself own and operate 13 units since 2017, and I’d say I’m a good operator.Anyways, the issue is that now the bank/owner has been notified of non payment, and while the seller is telling me everything’s fine between him and the person on the note and all, I know that the bank has eyes on this account now. 

So typically 5 units or above.

Investment Info:Large multi-family (5+ units) buy & hold investment.

Investment Info:Large multi-family (5+ units) buy & hold investment.