New to Real Estate · San Francisco, CA · Member since 2021 · 37 posts · 26 votes
There’s this duplex on sale that I am interested in buying with tenants already in them. Property is in a B neighborhood and I was just wondering if I should buy the property with the tenant already being in it or should I somewhat background check the tenant even though they have been living in property. Just want to be safe than sorry, what are your guy’s opinion on this?
Investor · Fort Lauderdale, FL · Member since 2020 · 1k+ posts · 755 votes
3y
If they have been living there for many years, I probably wouldn't bother with it. The most important things are: are they paying rent on time? are they maintaining the property well? However, it doesn't hurt to do it but it may create some animosity with the current tenants especially if they just moved in and completely a background check recently.
If the property is rented well under market and could use updating, you could use this as opportunity to ask them to leave especially if they are not taking care of the units well.
Investor · Fort Lauderdale, FL · Member since 2020 · 1k+ posts · 755 votes
3y
If they have been living there for many years, I probably wouldn't bother with it. The most important things are: are they paying rent on time? are they maintaining the property well? However, it doesn't hurt to do it but it may create some animosity with the current tenants especially if they just moved in and completely a background check recently.
If the property is rented well under market and could use updating, you could use this as opportunity to ask them to leave especially if they are not taking care of the units well.
Lender · Charlotte, NC · Member since 2020 · 224 posts · 221 votes
3y
Hey Jalen,
Just ask the landlord for payment history. If payments have been made on time every month, then you shouldn't need to have the tenant reapply.
But if the current owner says they haven't paid in 2 months, then you would want to know that upfront and takes steps to removing the tenant upon purchase.