Buying a 6 unit apartment building with bad tenants

[John Colburn]

I am in the process of buying a six unit apartment building, and during the due diligence found that two of the tenants have not paid rent in two months. To make matters worst the property management company is not forthcoming with the current status of the tenants.

I do not want to walk away from the building, but more importantly I do not want to inherit bad tenants.

What are my options?

[Don Konipol]

Make a new offer valuing the property as vacant. Tell the seller thismis all anyone will pay until he can prove the status of tenants - and if tenants need to be replaced YOU need to decide if better tenants are available - or this is the type/location of property that only attracts problems. Thenyou'll know whether to purchase and at what price. Too many deals out there to chase bad ones!