Oakdale, PA · Member since 2016 · 15 posts · 2 votes
I am new to the site and very interested to getting into rentals. I have a duplex that I would like to look more into and I am interested what other investors first thoughts would be.
What questions might you have?
What red flags could you see?
This is a rental property in a college town that would theoretically seem like a no vacancy deal year in and year out. To be honest I have listened to auidiobooks and podcasts all summer while I do my own home renovations. I want to avoid the analysis paralysis and find something!
Here is the property:
http://pittsburgh.craigslist.org/reo/5715165409.html
It might not be a bad option. There could be added risks with renting to young adults in college, but those risks extend to any potential tenants. Good tenant screening will probably be very useful and necessary to ensure that you don't get stuck with problem tenants, even if it is only for a semester or two.
@Mat Deveaney - I took a look at the posting but didn't see any information on income of the units, what utilities are paid by the owner, etc.
Since it's student housing, what is the lease term? School year only or full year?
There is no such thing as a no vacancy deal, although many brokers will try to sell you that. I agree that vacancy may be low given it's a student rental (assuming there is strong demand in the area) but there will always be some vacancy.
What updates have been done to the property?
Did the current landlord get parents to co-sign on these leases?
You can't make an offer without knowing some key points about income and expenses but the owner may not give you leases before having it under contract. Make sure that you request leases during due diligence so you can confirm all information.