pose as insurance agents in order to view the property???

4 Replies

I am looking at a 8 unit property that used to be a motel. It is now all residential units. The gross rents are 51k. List price is 389k.

I know that price is way to high but the reason is that the property hasn't had an offer ever. Its been listed for 3 years and I believe it is because the live-in property manager doesn't want it sold. Here is why I believe that.

I called the listing agent to see the property. The agent left the seller a message but the seller informed the live-in manager to handle it. The manager said that only 1 or 2 units can be viewed to a buyer. No one would buy a place without being able to see all the units so why would someone say this? The manager must have a deal such as free rent for managing the property. She doesnt want to risk loosing that if the property is sold. All inquires about the property get routed to her and she dismisses it by saying that you will have to buy it by only viewing 1 or 2 units. 

I persisted with my agent and told her that I need to see all of them. She left the owner a message again and the manager called back my agent and said that we can get into 4, BUT, we have to pose as insurance agents. WHAT?! The realtor told me that is common since no one wants to alarm the tenants. 

Does anyone find this weird? Posing as insurance agents? I'm not one to blatantly lie to tenants especially since I am hoping to be the new landlord, what will they think of me after????

Is their a way to look up the owner somehow and contact her directly to let her know that their is a conflict of interest when you property manager is in charge of speaking to the realtors?

Thoughts on this guys?

It has been listed for 3 years and no price drop what that tells me is the owner wants a full price offer or he/she is not selling. I do not think the manager is the issue if the owner truly wanted to sell they would be more involved this is just a case of I am happy owning the building but if you want me to walk away I will take 389k.

Why waste time and energy viewing the property and contacting the owner unless you are willing to pay close to asking price.

Not being able to view all the units before writing an offer is fine you could place in your contact a contingency of inspecting all units etc so once under contract that would change.

When something is this difficult from the beginning I have learned it will only become more difficult not easier.

I have only one thing to say.   Stick to your integrity.  

Well, I will also say the live-in manager is obviously is manipulating the situation.  There must be other ways for you to reach the property owner and negotiate what you need to be able to properly make an assessment prior to making an offer.  Or go ahead and make  an offer contingent on inspection.  After the inspection of all units, crawl spaces and attics you can negotiate further or walk from the deal.

I agree with @Eddie T.  , seems like this maybe indicative of future dealings.

It is not uncommon at all to restrict a potential buyer who has not submitted an offer and is not in contract to purchase to limit their inspection of the property to vacant units.  Disrupting tenants is a common typical concern.  

It is tacky to lie.  That I agree with the OP.  However, as I implied, my answer would have been you can ONLY view the vacant units until we enter contract.  Until then, you could just be kicking tires and who knows how many folks have passed through the property over the last three years unable to make a deal with the seller.  It is the Seller's privilege to hold out for what ever dollar sale price they want.  

I also do not think the barrier here is the property manager.  It seems like he/she is following direction.  Access was given to vacant units.  Request was made by you for occupied units and it was allowed, even though it's not the best manner, it was allowed.  The manager does not sign the contract nor is their name on title.  I think you are making more of an issue about him/her than needed.  The point of having a property manager is to handle these things.  Trying to circumvent her/him and place, what most likely is an ill-founded complaint, will only serve to raise the barrier of getting anything done.

As Eddie said, it seems the elephant in the room right now is price.  I would say stop dancing around it and get to the point with the price subject to inspections so you do not waste the time of all involved.

It is not uncommon at all to restrict a potential buyer who has not submitted an offer and is not in contract to purchase to limit their inspection of the property to vacant units. Disrupting tenants is a common typical concern.

^^^^ This.  You are jumping to the conclusion that there is something untoward going on, based on your misapprehension of how the process works.

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