Rental Property Investor · Columbus OH (columbus, oh) · Member since 2020 · 143 posts · 71 votes
5y
Greg, I will try to be more clear for you. I believe this was a group of previously homeless people who vound their way into the place and are now staying there without a lease. There is no electricity in the place.
You have squatters is what you are saying. When you mention buying it wholesale, do you mean you will be the end buyer and you are purchasing from the wholesaler? Or do you mean you plan to get it under contract and then be the wholesaler to another investor?
Regardless, I would require that the property be turned over at closing VACANT and SECURED. If the seller is not amenable to getting the squatters out, you can still close on property as is, but I do not believe you will be able to take any legal action to get the squatters out until you legally own the property. If these squatters never had a lease or any tie to the property, i.e. the former homeowners, then I believe it is more of an issue for the policy. If they used to be to owners that got foreclosed on or are tenants in holdover, you would be working through eviction process.
The cleanest way is to make the seller handle it before you ever take ownership.
Rental Property Investor · Columbus OH (columbus, oh) · Member since 2020 · 143 posts · 71 votes
5y
Thank you all for your input. I have found a property manager with a lot of experience in situations like this. I plan to work with them to get this property where it should be. That may well involve having the current occupants move out. My first step would be to see if I can provide them with enough cash so that they can move out and find a new and better place. Then I can concentrate on rehab.