6plex under contract. What documentation should I ask from owner?

[Andrew Jones]

Hello BP,

Yesterday 1/12/12, I got a 6plex under contract in southern California. Four 2bd+1 and Two 1+1. Owner is financing with me putting 30% down. Building is currently fully occupied. What documentation should I ask from the seller. I will be buying and holding the property.

My current list is:
1. Rent roll for 2009, 2010, and 2011.
2. Who is paying utilities? If owner then I need copies of the 3 past bills.
3. Copy of leases. Is everyone current?
4. Copies of bank statements showing regular rent deposits.
5. Who is managing the company currently?

What am I missing? This will be my largest building and I could really use any input not just on paperwork, but what are some deal killers/red flags for you.

Thanks,
Andrew

[Steve Babiak]

When you take over, be sure to have efficient bulbs installed in those common areas (either compact fluorescent or LED). Cost of operation will be lower on the electricity bill, and they have longer life (replacement less frequently = less work to do).