I have been looking into rental properties on and off for over a decade. I remember looking at the top of the market, thinking that the properties were so overpriced I would never ever make any money off of them. I am thrilled that were did not buy any of them.
Though we did place an offer on one and it could not pass inspection. They only showed the two presentable units. The others were in awful shape.
But I keep on looking. Other investors have come and gone. I am not a fan of partnerships in most ways. But with a property, I am more inclined to possibly work with a few whom I trust. Basically to spread and minimize my risk.
Now I feel I found a possibility. Of course the listing numbers were not 100% truthful, but my kids like this building. The initial inspections of 4 out of 6 units were good. The building is solid, there is some work necessary, but it can be held off for a couple of years. I want the building to pay for itself. Not always an easy feat, but possible.
Of the four bankers I talked to about the property only two expressed interest in the possibility of working with me. But based upon my quickie calculations if 4 units are rented, I believe I am cash flow neutral, or damn close to it. But then bankers always believe that 16% of each building will always be vacant.
So now I take a wait and see approach.