Rental Property Investor · Long Island and New Jersey · Member since 2020 · 34 posts · 2 votes
Hey BP!
I'm considering buying my first investment--a multi-family house with a legal adu! There is just one catch, tenants haven't been paying their rent for a few months and need to get evicted. The seller of the house is willing to pay any legal fees associated with the eviction as well as paint the house. The property is in a b+ neighborhood. What are some things I need to know/what due diligence is needed before the purchase? I'm located in Long Island, NY. Thanks!
If the current owners are willing to pay for the eviction costs and painting, have you asked about if they will deliver the property vacant and after painting it? In today's current environment with COVID, there can be lots of additional hurdles to actually evict. If you are going to end up purchasing with tenant's in place, consider offering cash for keys to move things along more quickly.
If the current owners are willing to pay for the eviction costs and painting, have you asked about if they will deliver the property vacant and after painting it? In today's current environment with COVID, there can be lots of additional hurdles to actually evict. If you are going to end up purchasing with tenant's in place, consider offering cash for keys to move things along more quickly.
Rental Property Investor · Long Island and New Jersey · Member since 2020 · 34 posts · 2 votes
5y
Thanks Mason. The seller accepted an offer contingent on the property being vacant and satisfactory inspection. Waiting for my lawyer to get back to me.
Hey Jorge - curious to know how this turned out for you! I'm on LI as well and my wife and I are looking at buying a property as our primary residence, but also that currently has an illegally-rented unit on the property (doesn't have a CO). I get the sense the sellers would take a low ball offer if I agreed to take on the tenant (indications are that he pays but who knows), looking for any expert feedback anyone may have on this situation. Ideally we'd like to buy it sans tenant, get a CO for the apartment and then rent it legally.
Flipper/Rehabber · Long Island, NY · Member since 2018 · 37 posts · 20 votes
5y
Getting tenants out these days is tough - cash for keys is probably the owner's best option if he's looking to do anything quickly. However, you should make sure you have a signed contract with the seller because once the tenants are out and the property is painted he may be looking for a higher price.