Should I be concerned about this deal?
In contract for a duplex which is one of our first deals. It currently has tenants, one month to month other on a lease.
This is in upstate NY and the city requires a certificate of occupancy (with an inspection from the city before issuing) for rental properties. Once we ask about it under contract, we learn the seller let it lapse a couple months ago.
We try to make the deal contingent upon them obtaining a new c of o. No dice. We change the contingency to say that WE will pay to obtain the c of o unless the inspection for it reveals over $4,000 worth of deficiencies. Still a no from the seller.
From what we could see after a home inspection , it would cost less than $1000 to make the necessary repairs to be compliant for the c of o. The home inspection revealed probably about 6-8000 of total repairs that need to be done but very few related to the requirements for the C of O. We asked for an old electric panel to be replaced & service on the furnaces and they conceded that to us.
Supposedly the seller got another offer above our price & without any contingencies after accepting ours. But then why would they concede anything to us? Why not just say no to everything and kill the deal so they can get the alleged better offer?
In addition, weve asked multiple times for rent rolls and maintenance records from the listing agent to no avail. Our agent contacted the property manager directly to ask for these items and they very rudely said it's all confidential. Then the seller agent accused our agent of being unethical trying to obtain the docs.
I get an uneasy feeling about this deal now, as if they're trying to hide something. On the surface the #s look good still, unless of course there's something we haven't caught.
I'm still a newbie so looking for input on what you all think.