Sale Price: $3,450,000
Size: 22,680 SF
Cap Rate: 4.73%
- 25 unit apartment complex
- Value add opportunity
- Strong tenant profile (650+ credit scores and income 3x rent)
- Located within walking distance to regional hospitals
- Property sold on an owner carry contract
Owner Carry Contract Terms:
- $500,000 down
- 4% interest rate
- 2 years interest only
- 35 year amortization
- No call on the note
We shopped this property to several different buyers beginning in January of 2023. After writing and presenting multiple offers to the seller, he asked our advice on how he should proceed with his property. We suggested placing it on the open market to be certain he was receiving the highest and best offers possible.
The highest off market offer we had presented was for $2,875,000. After placing it on the market, we received six offers on the property. The highest traditional financed offer we received was for $2,600,000. The final seller financed purchase price was for $3,450,000. That is $850,000 more when utilizing seller financing.
This is a great example of how seller financing can be a win-win for both parties. The buyer received excellent loan terms that are currently not available through traditional financing or hard money lending, and the seller is now receiving higher monthly loan payments than what he netted when he owned and operated the property (but without the costs or responsibilities associated with owning the property!).
Call us to discuss how you could also utilize owner financing to maximize your sale proceeds.
SVN Cornerstone Multifamily Team
Nate Gant is an Advisor with SVN Cornerstone. Nate has been an active member of the Eastern Washington real estate community since 2010. He has brokered more than $100 Million in real estate transactions, specializing in land development, REO and investment properties. To get in touch with Nate, email email@example.com or call 509.993.4440.
Jordan Lester is an Associate Advisor with SVN Cornerstone. Jordan served as a brokers assistant for 3 years with SVN Cornerstone before becoming a full time broker. Jordan specializes in the multifamily sector of commercial real estate. To get in touch with Jordan, email firstname.lastname@example.org or call 509.496.6922