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Updated almost 4 years ago,

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12
Posts
2
Votes

Should I back out from this investment property?

Kadejah Johnson
Posted

Hi,

I'm looking to close on a 4-unit for roughly 200k in a college town. 3 units are rented and I was able to talk to the tenants to see if they have any issues with their unit. A tenant from one of the bottom units informed me that there is a small leak in the ceiling and he pointed out ceiling stains and where the leak was coming from. The top unit reported no leak from his unit. The roof was replaced in 2020 but inspector found leak stains in attic. Also there is some termite damage. I am nervous because I am supposed to close next week. I am purchasing with a fha loan. I have a contractor coming out to inspect this weekend for repair estimate. How do I know to walk away? Should I walk away ?

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