Previous rental history

[Nzinga Hart]

Is it normal for home owners to have no rental history on a property? My agent mentioned it was an elderly owner and this might be my first acquisition as it strongly fits the parameters I want. All 4 units are currently occupied and they seemed like stable happy tenants, but I am wondering if I should take the lack of actual numbers as a red flag.

[Lynn McGeein]

I would think an elderly owner with 4 occupied units should have several years of tax return schedules, if nothing else, to be able to document the rents received, income or loss, so you'd be able to see if it's close to what you're thinking.  But you'll also need to know the lease terms (what if they signed 2 year leases you have to honor?  where are the security deposits, if any?  are they vacating before closing?  etc.)  If you are really interested, your agent should be able to help you make an offer contingent on your satisfaction of a review of all the pertinent information.   It could be a big red flag, or just a widow who doesn't really know and doesn't want to get into it until she gets an offer, in which case your agent will likely need to really walk her through it if she doesn't have her own agent.  Make sure your agent is experienced, not just learning on your dime, so to speak, and it might be a great opportunity for you.