Things to Consider when buying with Seller Financing

[Mike Lowery]

Fellow BPers, 

I am in the pursuit of a potential portfolio deal. I would be purchasing three duplexes and possibly a SFR using seller financing. Aside from terms, which I intend to negotiate, I am wonder other things I should consider doing to make sure this investment is worth my while. I intend on order appraisals and inspections. 5 of the 7 units are rented and I have requested a copy of the lease documentation to understand what the current tenants expected from the previous landlord. Aside from the two vacancies, one was supposed to be rented out as of 10/1, there is a lease that is coming due on 12/1. These properties are located in Milwaukee, Wisconsin in a C neighborhood and finding a renter in the late-fall, early-winter months could be difficult. I would imagine I should also probably run a title search and make sure there are no outstanding liens on the properties. Anything else you guys can think of? I have already performed my cash flow analysis and intend on walking inside and outside of the properties in the next 10 days.

Thanks in advance!