Buying a duplex deal with section 8 month to month tenants
Hello everyone, here comes my first BP post after listening to podcast for 2 months, and my first offer.
So we just submitted an offer for an AS IS duplex deal, the location of the property has great potential, multiple offers in place in a very short period of time. As the projecting rental cash flow numbers work on my sheet, we decided to make an offer despite the fact that we have not got a chance to walk through it yet. Because if we don't, we won't even have a chance to walk as they are making a decision tomorrow.
This duplex has section 8 tenants in each unit on a month to month lease. Based on the information we received from seller, it seems like they have been in there for many years, as the lead paint certificates have not been renewed for a long time. Also found out that water bill is paid by landlord and it was HIGH, which would weaken this deal had I factor that in my sheet earlier...if they accept our offer, we are going to do a walk through, then inspections.
Questions: What should we pay attention to at this stage and during walk through? And what should we do with the tenants if we close on this deal? And the water bill?
Thank you!