You can go through almost any bank for an FHA loan so I would go with a local credit union to form a relationship with them if you can.

In this case, the Realtor took my pro-forma and asked if he can show it to his seller.  

You can find comps for such things on Loopnet and Costar as well as through brokers.And remember two things, your anticipated repairs should be counted in the "price" when you run your cap rate and always use real numbers (i.e. the operating statement) no the pro forma to find the cap rate.

I am trying to find the best way to buy two potential properties.  I currently have a Georgia LLC that manages my 1 Georgia property.  The property is in my name so that LLC technically doesn't own anything.  I curren...

Make him sign a contract,include the clauses above, make him sign a release of lien form as soon as you hand him the check, make him warranty his stuff contractually for a year.Anyone willing to do that will more than likely do just fine.

I put alot of weight in current property tax when doing my pro-forma, as it can easily blow up OPEX and kill a deal.

PROPERTY SUMMARY Property                                                                Florida Heights, Atlanta                 Westview, Atlanta           B/BA 4/2 3/1 Sq Ft 1,980 1,135 Built 2005 1948 Asking Price $ 99,000 $ 99,000 Source Local Wholesaler Local Wholesaler Occupancy Tenanted Tenanted Current Rent $1,030 $865  DUE DILIGENCE Exit Strategy: Buy & Hold                                    Pro-Forma ARV (as-is) $145,000                                          $140,000                          Pro-Forma Rent $1,400 $1,200 Rehab for Buy & Hold $15,000 $10,000 Exit Strategy: Flip Pro-Forma ARV (Flip) $210,000 $390,000 Rehab for Buy & Hold $50,000 140,000CASH CLOSE Closed within                          30 Days                                             10 Days                            Close Date 1/11/2019 1/11/2019 Contract Price* $ 98,000 $ 99,000 Adjustments (Taxs, Pro-rated rent and deposits )*               $ (1,416) $ (1,201) Closing Cost* $ 1,005 $ 1,369 Adjusted Purchase Price* $ 97,589 $ 99,168 * Per HUD StatementREHAB PRIOR TO APPRAISAL Handyman                                                             $2,230                                               $6,025                             Gutter $250 $1,150 Appraisal $695 $695 Plumbing $0 750 Cleaning 0 125 Total Rehab Cost $3,175 $8,745 MORTGAGE Loan Product Delayed Financing                           Rate/Term Loan            Closing date 2/21/2019 2/21/2019 Appraised for $ 156,200 $ 150,500 LTV 67% 71% Rate 5.75 6.12 Term 30 years 30 years Closing cost and Prepaid (Financed ) $ 8,502 7500 Loan Proceed $ 96,500 $ 100,088 Rent Collected during mortgage free months $ 2,060 $ 1,730 Total Cash Spent $ (100,764) $ (107,913) Cash Stuck in the Deal $ (2,204) $ (6,095)Pictures of the properties: BRRRR Analyzer we use: (2 of 9 tabs) 

They don't need any amenities other than being clean, safe and near an area with either large construction or in need of affordable housing (which is almost everywhere.As Don mentioned being overleveraged is a problem if the owners don't understand how to manage the park and have true financials instead of trying to base off of pro formas. 

The problem with using cap rates in a seller's market is that most deals are being sold as value adds, so cap rates are going to be low.You need to understand what your pro forma NOI looks like once your deal is stabilized.

@Nick Ferguson If it's a high performing property, all the more reason to form a LLC.