Price Reduction for Bad Tenant
I'm in contract to purchase a 2 unit occupied property at the Jersey Shore for $485,000, which I offered to buy based on receiving both units vacant (so I could do short-term summer rentals). I learned today that the seller cannot provide the property vacant so I can either cancel the deal or renegotiate a lower price, which the seller agreed to do. Question is how much should I ask for off of the 485k price. One tenant has been paying consistently for two years, but the other hasn't paid anything since COVID started (unclear why). Bear in mind the tenant can't be evicted because of NJ's eviction moratorium. The moratorium isn't going to end until 2 months after NJ Governor Murphy declares the pandemic over (maybe by June 2021) and then the courts are going to be flooded with a backlog of evictions so I estimate that it could be a year plus before I could get this non-paying tenant out and I'd have to deal with evicting them and risk damage to the property by an angry tenant who doesn't want to be evicted and who didn't pay any security deposit. How much would you ask for off the purchase price of 485k?