This is my first post, so first of all, "hello" to everyone and thanks for giving me enough courage to jump right into Real Estate Investing!
I'm in contract to buy a property in Alabama from a fellow BP member. He/she may be reading this and I think that's fine. :) The home was just rented out today, but there were some minor issues found after the inspection earlier in the week. I asked that they take care of most of these items, which the team agreed to, but with there now being a tenant renting out the property (this wasn't the case at the time of the inspection), my guess is that it's going to take some time for these things to be addressed. I do have an inspection contingency and I want to make a decision by the morning.
I asked a few questions and received the responses below:
- Should I expect an addendum outlining the final list of repairs...?
>> No, if you agree to the attached repair items that will be sufficient.
- Given that there are tenants in the home already, can I still schedule a re-inspection to be performed?
>> We prefer not to bother the tenants. We will send photos of the repairs. If you still feel the need to send Brady out we can arrange that.
Should I be worried? Is it wise that I proceed without an addendum or will an E-Mail chain hold up should the repairs not be completed? Would you continue to press for the re-inspection? The team seems reputable, but it's also my first investment property and I don't want to get burned.
Lastly, with respect to the new tenants, what am I allowed to ask about and what SHOULD I ask for?
Thanks in advance!
If you have an inspection contingency, you can request to postpone the closing until the repair items are completed, if the seller agrees. Otherwise, walk away.
Depending on the nature of the repair, i.e., minor or major, you can decide whether that is worth the trouble.
I would request the rental application from the tenant, the lease, and the credit report, which are standard requirements.
Those info would also allow me to check out how they manage the rental tenant screening process and what kind of tenant is in the house.
If you can't get inspection run don't walk away. You could find a $300 repair or a $30,000 problem. Good luck. JP
well if your worried hop and plane fly out and look at it with their guys.. its probably not much but if it is.. you want to know first hand. if this is your first deal.. its worth the few hundred bucks in my mind.
Just think of all the Morris invest clients that if they would have just spent a few hundred bucks to go look at their project they would not be in such dire straights..
but if the TK operator is top notch like a few are there.. you can probably take their word for it.
but again if your worried just run out there for a day.