@Ben Spader i would make the current owner, as a part of the contract, that the unit must be vacant before closing.

@Ben G.

Hello @Ben Nelson .

As @Ben Leybovich points out IRR is a better overall measure of a property's performance but before there is a final disposition the IRR will be at best an interim number.

But I would agree with Ben in that the problem with this deal is that the spread is too thin, particularly with partners involved.

Good to know about the 50% rule - I've heard Ben Leybovich say to increase that % as the number of units increases (also about vacancy being included!)

Is it easier to qualify if he occupies it or can he rent out both sides (or all if Triplex or Quad) and  thus allowing him to qualify for a larger loan?

I would be able to cover the costs of 1 property, but if both had similar monthly costs, and both sat untenanted for an extended period, I would quickly find myself in a pickle, financially.Any advice of comments would be greatly appreciated.Regards,Ben

@Munya Ben I haven't really looked in that area or examined the site.  

Ben