How can I assess its potential and mitigate risks effectively, especially given its location?

It's only a matter of time before a minor financial emergency pops up for them and you'll have the time, energy and expense of an eviction on your hands. 

It's important to ensure compliance with local tax laws and regulations to avoid any potential issues.

Hello BP community,I'm currently in the process of potentially purchasing a multifamily property, and the seller has indicated they're open to seller financing.

Nothing like being able to sell the dream of dinner and a movie to your potential tenants, to help them see the need.

Property 1: 276k balance, 450k BPO, monthly cash flow average $500 Property 2: 376k balance, 700k BPO, monthly cash flow average $450Property 3: 420k balance, 650 BPO pre garage, monthly cash flow $550 once garage is done Potential purchase: 375k purchase, 75 down payment, 3 units, currently rented.

Do your due diligence but do not get stuck in analysis paralysis.Lastly, these online calculator are a good guesstimate but it is skewed with bad managers not effectively reaching the potential of a property So dig a little deeper into the high performers in the area to figure out what the rate should be and what they offer.

Since MFHs are primarily targeted towards investors, this narrows down the potential pool of buyers.

This could involve budgeting strategies, saving goals, and even potential investments for the future.

If the market is great and has future growth potential expect to pay a premium.