Purchased a condemned property (without knowing it). Next steps?
Member since 2021 · 8 posts · 8 votes
Hi All, Noob out of state investor and this is my first investment property.
I recently closed on a duplex in OH. Both units were being rented. However Renter 1 stopped paying rent during the ownership transition.
Property management tried to register the property with the city to start the eviction process.
Shocker: When they attempted to register, the city responded back saying this property is condemned.
It appears seller purchased this condemned property, renovated it however didn't get the necessary city approvals and permit. None of this was surfaced prior to the purchase.
PM is saying we'll need to evacuate both renters and run a complete city inspection which is going to take several months if not a year.
Looking for help here.
Question 1) At what point should this have been caught? Can I go behind the seller or real estate agent with a legal action?
Question 2) Should i evacuate the tenants and proceed with city inspection. Any prior experience dealing with this situation. Both time and money?
Question 3) What should my priority be in terms of next steps here?
Hi All, Noob out of state investor and this is my first investment property.
I recently closed on a duplex in OH. Both units were being rented. However Renter 1 stopped paying rent during the ownership transition.
Property management tried to register the property with the city to start the eviction process.
Shocker: When they attempted to register, the city responded back saying this property is condemned.
It appears seller purchased this condemned property, renovated it however didn't get the necessary city approvals and permit. None of this was surfaced prior to the purchase.
PM is saying we'll need to evacuate both renters and run a complete city inspection which is going to take several months if not a year.
Looking for help here.
Question 1) At what point should this have been caught? Can I go behind the seller or real estate agent with a legal action?
Question 2) Should i evacuate the tenants and proceed with city inspection. Any prior experience dealing with this situation. Both time and money?
Question 3) What should my priority be in terms of next steps here?
This is why you never purchase a property without a team in place. However, this is a simple fix. Just call the city, explain to them what happen. All the city cares about it making money, They will want permits pulled. They will come to inspect. If all repairs are done correctly no worries. If not rectify it
I am closing on a condemned property next week, all they care about is permits and doing it right
BTW I know most if not all " players " in the Cleveland markets, who did you buy from? Also which title company, I know them all
@Veena Vaidyanathan this is not right and it will get worse before it gets better. The seller, your agent, and the title company. Some or all may be at fault. Sooner or later you will wish you had gotten an attorney involved. You should get real legal advice ASAP.
Its actually a very easy fix. Its all about knowledge and your team. Hiring an attorney will just be a waste of money,,,,,,,
Yes, please let us know how the problem was fixed.
Again very easy, We are going in tomorrow to access what was done or needs to be done and taking care of it. According to the tenant whom I spoke with today, nothing is wrong and is very happy. The video I received also indicate the property is nice. Will know more in 24 hours
Why was the property condemned which by definition means the improvement is uninhabitable?
I stand corrected, though in my defense I've never seen a municipality use the term so loosely.
Building & Housing FAQ | City of Cleveland (clevelandohio.gov)
Its Cleveland they LOVE DRAMA lol,,,,,, They will throw you in jail YES JAIL, if you do not do repairs I mean even small items, in the time frame they want. Hey good forbid your leaves blow on your neighbor's lawn, COURT and fines.and do not forget about cutting your lawn " It creates allergens that humans are allergic to " cant make this stuff up folks....
@Veena Vaidyanathan @Bob S. was this issue resolved, and if so, what was the solution? ...if not, where does the situation stand now?
All being taken care of. I am having all permits pulled, and doing the repairs required, It should not take more than a couple weeks depending on how fast the inspectors move.