BRRRR rehab during prior tenant lease
Hello everyone,
I was wondering if anyone had advice on how to renovate a property when there is a prior tenant who still has a lease. My strategy is to use hard money to buy and renovate then refinance to get the down payment back.
But if there is already a tenant, whose lease expiration date will not leave enough time to renovate before the hard money is due, Can any thing be done to overcome this?
The reason I ask is because I don’t want to have to return to the unit when the lease expires to renovate it with my own money, I want to do it while I have the hard money and the ability to refinance in order to pay for it all upfront.
Is anything possible in the situation?
Thanks all
Most Popular Reply
I have walked away from deals similar to this scenario...being that there is a lease in place that makes it tough!
-I suppose you could offer the tenant cash to break the lease early, still giving them some time to find another place... may not be a popular option but an option none the less.
-Depending on length of rehab you can relocate tenant for a week or so (if they were on board to do so) so that you can renovate the place.
Best of luck!