Rental Property Investor · Cleveland, OH · Member since 2015 · 21 posts · 10 votes
Just had my purchase offer accepted today. What documents should I obtain from the previous seller, aside from security deposit, and previous lease? Any tips for closing process to cut costs etc? Want to do it right the first time.
Rent rolls- time, date, and amount of rent actually collected. Can give a clue to problem tenants. Also a copy of any notices served to tenants.
Check-in sheets for tenants. If you don't have this, assume that you will have to eat the cost of a tenant punching a hole in the wall, destroying the carpet, and breaking the fridge.
Bills or anything to verify what the actual expenses are on the property.
Matt thank you for the response, exactly what I was looking to know. I was able to get closing costs rolled into loan, so I won't have to pay for those. Thanks.
I like to put a sellers concession in the contract. If you're doing a first time homebuyers FHA loan with 3.5% down you can do a 6% sellers concession which you'll get at the closing. Also, if you close at the beginning of the month, you get a good portion of that months rent prorated back to you or taken off your closing costs...and your mortgage payment isn't due the next month but the following month. This is what i did and not only did i get my first duplex with no cash invested but i actually made 1500 bucks off the transaction haha. Also verify with the tenants to see if any appliances are theirs...had a seller put in the contract that the washer and dryers came with the purchase of the house but after talking to the tenants at the walkthrough on closing day i found out that they owned them...which resulted in me getting a credit at closing.