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Updated almost 7 years ago on . Most recent reply

User Stats

48
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8
Votes
JJ Mayer
  • Rental Property Investor
  • Bloomington, IL
8
Votes |
48
Posts

Security Deposit upon Acquisition

JJ Mayer
  • Rental Property Investor
  • Bloomington, IL
Posted

Quick Question - when you are buying an already rented/leased building (4-plex in this case), how do you think about the security deposit for the current tenants?  Do you adjust your price accordingly? 
For example using easy #s, if I'm considering offering $100K for a 4-plex and the 4 existing tenants have combined security deposits totaling $4k, should I offer $96k, making an allowance that I (as the future owner) will have this liability?

Thanks in advance forum geniuses!

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