All Forum Posts by: James Lin

Thank you so much...  I have decide to let this property go.  I don't want to risk it.  

I have just bought a 1.37 acre land right below palmdale lake.  At this point, not really looking at this as a investment, but rather a personal use for land developement into a small personal farm.  This land might not be able to built, not sure yet.  There is a water pipe ditch that connection lake palmdale to anther water sournce, to make sure the lake palmdale don't dry up.  If I couldn't build, I will try to see if I can put mobile home on it.  Making the land usable it going to be a challenge.  I am just starting to learn a lot of turning the raw land into usable land.  This would be a great opportunity for me to learn.  

So in the future purchase of rental unit, I can't expect the current owner to provide me with lease and ledger.  Just plunge in , inherit the tenant, and take the chance on whether tenant pays or not?

Our latest email from my agent,

"No such records exit On this particular Property3325 East 118th St Property Just extremely long term tenants Over 20 years Both units
Most 2- Family's do not have those records.
I will send you a release if a release is needed. Stating that you are not interested in buying Property. Because I am not be able to provide the type of records and information you are requesting for this property.
Owner is recently deceased that could have provided your requested information.
Thanks"

My question is , what she said that most multi family in cleveland don't have lease and ledger.. is that true?  

Thank you all for your advise.  It is my first out of state investment and I am learning while I try to invest.  Special thanks to Bob Collett from biggerpockets in helping me thru this process of identifying all the problem with this particular investment.  I email the agent that I would not continue the purchase without lease and rental payment ledger.  She told me that there is no lease and she couldn't get the ledger.  At this point I have lost This is what she email me

"I can not get rent history. The husband who is recently deceased Took care of the financials of the family Properties But
The tenants is calling me directly I just got off the phone with one of the tenants i called the Tenants I am not suppose to call the sellers tenants. I WANTED ANSWERS FOR YOU__DIRECTLY The tenants have been paying rent at 118th property for 20 Years--2nd Floor21 Years--1St Floor WOW You talk about super long term good paying tenants I applause them. They deserve to continue as is.

I knew they were good tenants with long term paying rent history.
The tenant I just got off phone with said the owner passed away
Do you want that type of well paying long term tenants. Both Units in 118th property is family.
I think you want those tenants??Tenants living at property paying rent all those long years speaks for themselves
FOR SURE
I could be a good property manager with those tenants for you I Like super long term tenants."

What do you guys think? 

Thank you for the advice.. I have tried asking my agent and the seller agent about the prove of payment of rent (rent payment history) and also lease.  Both of them just ignore me.  Making feel that there is something wrong.  

I want to purchase this duplex in cleveland 44120 with tenant in it.  I contacted the agent, she said the current owner of the duplex didn't have a sign lease contract with the tenant.  The tenant called the agent that they want to continue the rent "as is".  Let me put her quote on this message.  

-------------------------


"When purchasing a property with tenants in place, usually the seller has your requested information available.
This is not the case.
From my understanding From tenants who started just recently calling me That they want to continue** as is**With new owner.

That's usually what happen When good tenants don't have leases.
Soon as property transfer title to you. Not before because no leases is in place.
A one year lease would be the only requirement from you as the new owner
As long as tenants pay you your rents on time and is good rental Property tenants
You explained to me it was important to have tenants in place in Properties that you was interested in.
I will wait before sending purchase agreement until I know if there is any security deposits /amounts For purchase agreement. that is credited to you at title transfer
at the title company
It's a easy process All is explained in details
It could be your property In 12 days.
With all terms approved by you the buyer and the seller
Yes Seller is ready to move forward.

--------------------

 It is just month to month.  She said once I take over the title, I can put a simple rental lease and continue as is.  

Please give advise. ...

At this point there is no lease.. should I forget about this investment?  I am not able to get the tenant to sign a new lease since I am not the owner.  I was afraid that once I purchase this property and tenant refuse to pay the rent or refuse to sign a new lease.  Then I have to spend bunch of money to evict the tenant.   Please help ....

I totally agree with you. That inspector report bothers me too.  At this point, I don't really care if I get the house or not, it has red flags.  I have mention it all to my real estate agent.  I am going to change to another real estate agent that is more knowledgable about investing and will do better job for me in getting the house inspected.  Not kept on saying this house is a great investment and I should go ahead and buy the house.  

Great tip about the lease prior closing.  I ask the agent, she said the tenant is month to month, therefore no lease.  Does that mean I have to have it or no deal?