As Warren Buffet says " Be fearful when others are greedy and greedy when others are fearful" this is a classic example of someone who wants much higher then the local prices for an older apartment.

Visit the local library or Barnes 'n Noble and read all the classics: Rich Dad, Poor Dad; the Richest Man in Babylon; Think and Grow Rich; etc. 

I have run my 6-units at 30% of GSI as expenses, but a conservative number for analysis is 50%.Actual vacancies (imo which must be vigorously managed) is 1 month per year or 1/(6*12) 1.3% (whereas classical underwriting is 8-12%).LOCATION and your management style WILL heavily impact these metrics.

Here are two classics that I would require if I taught a class:Getting Things Done, David Allen - No matter what you do, this book provides a great way to build systems to manage your life, business, and success.The Intelligent Asset Allocator, William Bernstein - I would not have started investing at all if it was not for this book.

97 units studio $630/mo per unit (7) $4,410/mostudio $630/mo per unit (7) $4,410/mo  1b1b $785/mo per unit (20) $15,700/mo 1b1b $795/mo per unit (19) $15,105/mo2b1b $875/mo per unit (28) $24,500/mo2b1.5b $930/mo per unit (16) $14,880/mo100% occupancy @ current rates yield $79,005/mo $948,060/yrThe next numbers in this section are according to one of the listings I found and are not verifiedGross Annual Expenses: $446,168Gross Annual Income: $853,658 Net Annual Income: $407,490 Insurance Expense: $37,902Major Variables Seller's financials all currently unknown-bank deposits-expenses-taxes-insurance-management-maintenance-staff-lawsuits between tenants and owner-current occupancy of each floor plan (something online said 95% but, I doubt it)-delinquenciescondition of-structure-hvac-roof-plumbing old needs maintenance -foundation-parking lot-pool pumps/cleaningNoticeable areas of improvementexterior paint, shutters, landscaping need updatingpool and pool area is small and uglyoffice needs to be remodeledmarketing: nonewebsite sucksreviews give 3 stars at bestreviews online from tenants state there is only 1 maintenance person and multiple plumbing problems and poor management and possible pest control problemsOther notablesBeen on realtor.com for 361+ daysmature treessoccer field (could be re purposed)year built 1974class c complexPets okreviews online from tenants state there is only 1 maintenance person and multiple plumbing problems and poor management remodeled in 2010On the UNT bus route

Ben W suggested the classic MAO (max allowable offer) "formula" for making offers (70% x ARV - rehab = MAO) - always keep this formula in mind!.

Classic 30 year stuff for the plane Jane non owner occupied investment property.

Like folks that keep beat up old classic cars on their properties and just let them rust away. 

If I put money "into the business" it's to buy more properties, it's not for what I should classically think of as "business operations".  

In other words, if you believe the building will appraise for $650,000, you'll need $520,000 of equity for the classic refi to dump your PMI.Less obvious solutions involve 90% LTV loans with no PMI (though the rate is usually a bit higher, it still results in big savings compared to FHA PMI,) or an 80/10/10 loan, which is similar to the first option but involves a second loan (which could also even be cash out.)