hi Jarrod, congrats on the 4th purchase!  

They were selling on pro forma, but the market and the debt market have shifted, and it's aa lot harder to achieve higher pricing with lower rents.We've purchased over 2,000 units, and the simple answer to the question is that they are either mom and pops and run their businesses with ZERO KPIs, they do not want to risk losing tenants if they raise rents, and they don't treat their asset as a business.When you take over, it can be difficult to get rents to market if they are very suppressed.

We were in a financial position where we could keep our existing home, upgrade, and purchase another home.

., 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%?

Disclosure: Previous, current and future purchaser of Matt Scott's services.I have personally used Matt Scott and Incite Venture Capital to create my fixed income fund.

If possible, meet the appraiser to provide your rehab details and comps.Also, out of curiosity, when did you purchase the property and when are you looking to refinance? 

Okay I know I asked a different question earlier but I have another one considering anther situation. So this Multi I want to offer in Kearny New Jersey (NJ) has an illegal finished bathroom in the basement and finish...

How we purchased our property: Combination of Savings, Personal Loan with interest from a family member (4% interest) and a cash loan from Wells at about 8%.

I understand the concept insofar as if I'd purchased the property, the basis would be what I'd paid it.

Purchase price: $100,000 Cash invested: $1,000 3/2 SFR BRRRR that rents for $1050/mo.