Investing in Apartments
When buying an apartment complex. What are some questions I should start asking? The broker sent me the pro forma. Rent rolls/expense sheet. What else am I looking for?
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The rent roll and expense sheet is crucial. If you only have the T-12, you can inquire about historical operating statements. That will allow you to to see historical trends with occupancy and expenses. You might also want to know about the maintenance history and the list of capital improvements. This might be sufficient before putting in an offer and during DD, you might want to get copies of actual leases, detailed information about tenants, Estoppel Certificates, survey, title policy, etc.