Flipper/Rehabber · Colorado Springs, CO · Member since 2016 · 502 posts · 167 votes
Im interested in a duplex with one section 8 tenant paying way under what rent should be for the location. (Other unit vacant) The tenant has a m-to-m lease. I would be even more interested if the seller would terminate this tenant's occupancy. I have heard that section 8 tenants can sue landlords, which takes weeks, meanwhile they are living there. And maybe not paying rent. And maybe they win the suit. The local Housing Authority is not available to chat with me so hope I can get a better POV here. HUD may be involved as well. Thanks.
Do you have a trusted property management contact in the area? If so, they might have some experience with similar situations. My property manager is a tremendous resource for me when I encounter nuanced buying situations in my local market (San Antonio).
If not, I think it might be well worth your while to engage the services of a knowledgeable real-estate attorney to see what your options are.
Tell the seller you are willing to give them a check for up to 6 months of rent that they can deposit the day the current tenant is out. (Of course any remaining rent will be given to you at closing.) this way the seller isn’t losing money while and if you fail to close. Should be a win win with the risk of maybe one to two thousand dollars max.
Carl you are right in my wheelhouse thank you for straight talk. This situation can’t be solved without hair pulling and screaming, and an infinite amount of financial punishment, no matter how many letters my lawyer sends if the tenant decides to squat. No agency has enough accurate information to help with a decision. The people at Housing are useless and I’m sure not ready to become a thieves’ victim. This property will draw a dozen offers and close for a lot more than list price, very soon. There’s a crowd of folks (dolts) who would buy this as is and fill it with mad dogs and storage for their cash. With the tenant still sitting there like a big bloodsucker. I will NEVER acquire a sitting tenant they are malevolent. (Hey, tenant malevolent rhymes!)
Bill, There is no way the seller will evict this tenant if he hasnt already. The demand here for nice rentals in a B+ With garages, no less, is ferocious. Probably the reason for selling, too wimpy to act or the section 8 its seller’s relative. Also seller wont want to wait since will soon have a cash buyer (420 pays plenty!)
Grant, the PM’s here are desperate. You should see the inquiry “letter” I got from a couple women calling themelves property managers at K-W looking for my feedback on applicant moving out of my rental. It’s embarrassingly bad. Misspelled, messy, unprofessional. Scrawled and not even on company letterhead.
I LOVE the support I’m getting through BP its the greatest. THANK you all for your smart and helpful comments. I’d like to find a cash flow though, without paying $20-$60K over appraised or taking a chance on Kansas... tired of bowing and scraping to sellers. Or how about Wyoming, where no one gets vaxed except the cattle!