Always happy to connect and learn from others working in this market.Looking forward to hearing what you think!

Purchase price: $252,000 Cash invested: $63,600First buy and hold.

The properties range in price from $160,000 to $250,000. 

Gain is your net sales price minus your adjusted cost basis (purchase price plus capital improvements minus depreciation). 

Quote from @Paul Lucenti: We just closed on our 9th deal and first of 2025 - sales price was $115,000 and total monthly cost is $890. 

What are the costs for the value adds, the expected hold time, and the expected sale price? 

PMs should have the widest network of contractors, knowing the good from the bad, better pricing, insights into rental rates/ condition of rentals to not over develop your unit.

In my area, they charge transfer tax on the assessed value rather than the LOW sale price.

@Martin Manning To add onto what others have shared, in the most simplistic terms, apartment complex values are based on Net Operating Income, or NOI, and the cap rate.Price = NOI / Cap RateSo, if an apartment complex has an NOI of $100,000 and a market cap rate of 10%, the value is $1,000,000.Listing agents for complexes love to price based on a pro-forma, which is utter nonsense (unless you're in Austin, in which case apartment complexes apparently have floors made of gold).

Hi Kris,It sounds like you’ve got a great property under contract with a solid entry price, and the only challenge is the interest rate of 7.125%.