Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Starting Out
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 1 year ago on . Most recent reply

User Stats

11
Posts
6
Votes
Annmarie Hill
6
Votes |
11
Posts

Tenant occupied duplex to HH: should I require holdbacks or empty unit

Annmarie Hill
Posted

So a follow up to my prior question after speaking to an attorney in WA state: 

I am considering an offer on my first investment property to househack. It's a duplex with one unit vacant. The tenants have been served the 90 day notice to sell (Jan 1) required in WA state. One tenant is already vacating Feb 8. The other has not said a word so Im assuming theyll ride the 90 days out, or even not leave. Would you recommend making the sale contingent on the tenant leaving at the end of 90 days (or the seller getting tenant out sooner (eg cash for keys), and returning the unit broom ready, OR in the interest of moving forward would you negotiate a holdback in case eviction is necessary and to cover paint, repairs from wear and tear and carpet replacement, cleaning etc? Can lost rental revenue be included (so if it takes 3-6 months to evict can that be the sellers obligation through the holdback)? Would 10% of the purchase price be fair if I feel that will cover expenses (485K purchase price asking)?

My thought was to offer two different PP: maybe 10K more if they get the tenant out within 30 days, 10K less if we have to ride out the 90 days (but then Id ask it be delivered broom ready).  The holdback account would be to pay costs to get tenant out, replace/clean etc. The 2 bedroom unit that is still occupied is the one I need to live in with my kiddo.

Loading replies...