Initial walkthrough checklist

[Arthur E.]

I'm flying a considerable distance this weekend to tour some multifamily properties.  I'm trying to come up with a checklist for data to collect at each property.  Can anyone think of anyone think of any modifications to this list?

Days on market?

Has there been a price drop?

Is it 100% rented?

Are the leases MTM?

When do the leases end?

Are appliances split?

Is there a sellers disclosure?

What utilities do the tenants pay?

What utilities does the owner pay?

What is current cash flow?

Are rents at market?

How does hot water heater look/age?

How does roof look/age?

What type of heating system is it/age?

How does it look/age?

How do the Windows look/age?

What work does the property need?

[Matt R.]

If you don't have the addresses now, write them down as you go on the tour and research the neighborhoods on your own later.  Also, having the address usually means you can look up the property taxes on the county website, to verify what the seller is telling you.

If you can possibly do it while you're still in the target city, drive back to the properties on your own.  Drive a few blocks in all directions from the property and scope out the neighborhood.  (Sellers are good at driving down the street past the renovated homes to get to their property, and not showing you the local crack house and burnt-out shells that are on the next block over.)  If you can, visit the property both in the daytime and at night.