Purchasing My First Rental FINALLY ! I Need Help From You All !

Colonia, NJ · Member since 2015 · 83 posts · 17 votes

Hi everyone,

I just had an offer get accepted on a duplex! I'm super nervous and I'm trying to do everything right the first time. Here are my thoughts;

1.) Purchase duplex using my LLC

2) Get insurance

3) Open new bank account for collection of rents.

4) Home inspection?

4) .... I have no idea what's next.

I'm looking to start cash flowing with this deal around 3.5 years.

What are your thoughts?

Thank you !

What would you do in my

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Theresa HarrisPro Member
Member since 2019 · 15k+ posts · 11k+ votes
7y
First get financing and inspection done and in place. Call to get a quote on insurance so there are no surprises. Once subjects are removed, then worry about the bank account.
Are you living in one unit or renting both? Are the units that are being rented, already occupied? If so, make sure you look through the rent history (and get their security deposits from the current owner) and get copies of the lease. You need those verified (think they call this estoppel in the US).
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Cody Jensen
OP
Colonia, NJ · Member since 2015 · 83 posts · 17 votes
7y
@Theresa Harris Thank you for your input! I'm purchasing this property cash. Both units are currently rented and with year leases. I am still waiting for rent history and if there's any outstanding inspections etc.
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John BrittPro Member
Real Estate Consultant · Chattanoooga, TN · Member since 2008 · 194 posts · 52 votes
7y
@Cody Jensen I would also get the tenants applications, and set a system in place to call you or preferably a maintenance person for repairs.
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