How do people get qualify.....?

Question

I'm wondering some folks can be able to qualify for 10 to 20 units apartment complex that's listed for $1.5 M to $2 M. If I would like to try, how much down payment should I pay in order to get the bank approve?

I would consider a big personal achievement if I can successfully buy a 8 units complex. Plz give me some advice or the trick to do it if you own some big complex.

Answer 1

yea forget it sounds not right buy something you can afford  good  luck

Answer 2

Hey, where are you from that a 20 unit is listed for 1.5M  to 2M?  Must be the south or California.  In Pennsylvania, we bought an 18 unit for $500,000 in a GREAT area, and we are getting between $500.00 to $650.00 in rental income each unit.  Now I know why we get so many people from the south, mainly Florida, and from California buying our income properties and hiring someone to manage them.  Could you actually make a decent profit buying for that high, after the mortgage, insurance, property taxes, expected maintenance and possibly utility payments?  We own over 50 units, and the price of income properties here are so affordable, that you end up making decent profits.  

Answer 3

You need 25% cash for the down payment and significant net worth (other assets) in order to even think about this. However, I would be very skeptical with an complex that large selling for 2 million, the price is too low, I would suspect that something is seriously wrong.