Multifamily inspection fix question - how to make deal happen

Multifamily inspection fix question - how to make deal happen

Rental Property Investor · Union city, NJ · Member since 2016 · 203 posts · 43 votes

Buying a 2 family (last stages, appraisal right now) in Jersey City - Bergen/Lafayette area, right next to MLK light rail. Great location, ok price. Its a conversion from single family and seller hasnt approved ANY of my after inspection fix requests, any suggestions/ideas? 

- Building is nice, seller essentially bought it as a single family, rehabbed it and converted it to a 2 family, but has some issues i wanted to fix but seller simply gave a 5k credit without fixing anything i asked for. I know things cant be perfect, but some things I thought will be fixed:

things i wanted fixed:

flooring - is a bit dented on one of the units, living room - seems like they just did a quick flip, and floor tiles are not perfect and level

washer dryer - no hookups and none present - wanted at least a hookup or one in one unit

pipe diagram - this i believe should be a must, since i want to know where the pipes run behind the walls. documentation of the flip/fix so I have public records as the new owner on what they actually did

refrigerator/microwaves - this is a must, seller claims broker told me these will not be provided..

Not sure what seasoned investors do usually at this point (probably they fix rehab things themselves). You either keep pushing with requests until the fine line before seller had enough if it, or just take it as it is and believe your gut that you are purchasing a good investment? 

Or ask for 10k credit instead of 5k

Thanks for any ideas.

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Davis, CA · Member since 2016 · 595 posts · 344 votes
8y

pipe diagram?  They probably laughed at that...

As for the rest, If you come look at and offer on a house with out w/d hookups, then ask me to install it?  Nope.  It also doesnt have a hot tub... Probably doesnt have a wine cellar...  

Floor tile not perfect?  Nope... If you found it to be defective... not bonded, grout popping etc... thats a repair request.  If you dont like the house, its features, bail... But if he offered you $5k credit, and the deal was good before, and there arent DEFECTS... Id take that and run.

Permits are your bigger issue...

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  • Developer · Philadelphia, PA · Member since 2013 · 1k+ posts · 902 votes
    8y

    Is the conversion legal as in they got U&O for 2-family and zoning supports it? 

  • Rental Property Investor · Union city, NJ · Member since 2016 · 203 posts · 43 votes
    8y

    i hope so. i asked for documents and pipe diagram but i havent received any. mortgage bank ordered appraisal so I assume they would check everything is legal, no?

  • Developer · Philadelphia, PA · Member since 2013 · 1k+ posts · 902 votes
    8y
    Originally posted by @Drew Slew:

    i hope so. i asked for documents and pipe diagram but i havent received any. mortgage bank ordered appraisal so I assume they would check everything is legal, no?

    Not necessarily. Pipe diagram? Never been asked for one of those. I'd check on U&O before worrying about a pipe diagram. Were permits for work pulled and closed out? If the work was unpermitted and they flew under the radar you can build anything you want in there. Doesn't mean your town/city will allow it later down the road. I'd hate to see you buy a property and not be able to use it as a duplex once you go to rent it out. 

  • Davis, CA · Member since 2016 · 595 posts · 344 votes
    8y

    pipe diagram?  They probably laughed at that...

    As for the rest, If you come look at and offer on a house with out w/d hookups, then ask me to install it?  Nope.  It also doesnt have a hot tub... Probably doesnt have a wine cellar...  

    Floor tile not perfect?  Nope... If you found it to be defective... not bonded, grout popping etc... thats a repair request.  If you dont like the house, its features, bail... But if he offered you $5k credit, and the deal was good before, and there arent DEFECTS... Id take that and run.

    Permits are your bigger issue...

  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    8y
    The only thing to look at here is proof of permits. None of what you mention is something you could not have seen/did not know before offering. It was not discovered in inspection Pipe diagrams is kind of a different request, I think you wont get that although they may say we put them in this wall if you ask.
  • Rental Property Investor · Union city, NJ · Member since 2016 · 203 posts · 43 votes
    8y

    Great replies thanks a lot. Ok i may have gone overboard with requesting too many things :)

  • Rental Property Investor · Union city, NJ · Member since 2016 · 203 posts · 43 votes
    8y

    But if anyone knows any good contractors for a minor concrete job in the back to repair some stairs and garden holding wall would be interested in that.

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