Investor · Cincinnati, OH · Member since 2016 · 208 posts · 157 votes
Hey all,
So I just got my 2nd property under contract and I have a question, some might say, a NEWB question. Anyway, this property is a college rental..and it being May, I'd like to get it rented out for the upcoming school year.... I'm already late, as most students sign their leases in early spring. Is it kosher to market the property for rent prior to taking title/deed? I planned to ask the owners if this would be alright? Anyway, I figured I'd ask to see if anyone as has had similar experience, or someone to tell me this is totally illegal... although I'd assume it's copacetic if given the ok my the sellers.
Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
9y
Hehe. I have a property under contract that has 6 empty units. I've leased four of them prior to closing. That sucker will be full at close. I used those leases to help get the loan!
So yes. Absolutely.
I'm sure some of the more safe/conservative/legal'y people will say it's not safe etc but I do it all the time.
Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
9y
Hehe. I have a property under contract that has 6 empty units. I've leased four of them prior to closing. That sucker will be full at close. I used those leases to help get the loan!
So yes. Absolutely.
I'm sure some of the more safe/conservative/legal'y people will say it's not safe etc but I do it all the time.
Investor · Cincinnati, OH · Member since 2016 · 208 posts · 157 votes
9y
@Cody L. thanks... yea I'm going to let the owners know... can't imagine it would hurt any! Was the loan you're talking about a commercial or conventional mortgage?
Minneapolis, MN · Member since 2013 · 2k+ posts · 1k+ votes
9y
If they let you go ahead,, If for some reason closing doesn't happen I'd just do a holding fee, have them pre - sign lease and once you close you'd sign and return lease to them.
Some may be skiddish about this as Scam type people are in all types of business.... so be prepared to answer and document you have interest in property vested to be new owner.
Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes
9y
@Jake Walroth There are a lot of reasons why there is no incentive for a seller to let you do this. to much liability for the seller and there is zero upside for them.
If you want a unit or units filled prior to close make it a contract contingency.
@Cody L. thanks... yea I'm going to let the owners know... can't imagine it would hurt any! Was the loan you're talking about a commercial or conventional mortgage?
Commercial. I can't get a conventional / conforming loan. Plus it's a 5+ unit building so it wouldn't be conventional anyway