@themultifamilyguy: Why we’re passing on this $6.4M Sarasota apartment deal (or making a massive lowball offer). 📉🏢 A broker just sent over a 24-unit complex in Sarasota, Florida, asking $6,400,000—that’s $266,000 per door for 1975 construction. Here’s how we underwrite the real numbers: • The Good: Strong unit mix (majority 2-bed/1-bath) in a great market, currently bringing in $2,000/month average rents. • The Problem: The current owner already renovated the interiors to the nines and maxed out the rents. Because the units are fully upgraded, there’s zero room left for us to force appreciation. • The Math: The property only projects a tiny $100 rent bump over a 5-year hold, yielding just $344k in long-term net profit. • The Verdict: If you can't add value to force the NOI, you can’t pay top-dollar pricing. To make this deal hit our investor return targets, we have to cut the price down significantly. Never buy a deal just because the seller put lipstick on it. If there’s no room to create value, the only lever left to pull is your purchase price. Save this deal analysis for when you're reviewing broker OMs, and drop your target offer price in the comments! 👇 . . . #multifamilyinvesting #realestateunderwriting #commercialrealestate #sarasotarealestate #syndication

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Tuesday 15 September 2026 22:42:26 GMT