Rental Properties with stable tenants

[Valerie Copeland]

My basic instinct tells me that it is a wiser decision to get a rental with an already stable tenant in place you can see how they take care of the property for starters and they have a history with consistent payments....a little input on this please....Thanks

[Alexander Zurn]

@Valerie Copeland yes, perhaps that is a "wiser" decision for the reasons you listed but I do not think you should be deterred from analyzing and (possibly) putting offers on properties strictly due to the fact that either it was no tenant or has a bad tenant. Part of the REI mentality is that you can create your business - your business being rental property management, which is contingent on stable, good tenants.

For example, say you purchase a property with a bad tenant. Ok, in analyzing the deal you may have realized that if you can get this tenant out due to them not being a "good" tenant, them not paying enough rent, or whatever the case may be - you could really make the property a good deal, while making the neighborhood better for it too. While you're able to gauge a how good a tenant may be, you should purchase the property based on what it could be - not what it is - with or without a tenant currently in place.