Going to look at 5+ buildings, one owner

[Patrick Moore]

Hi everyone! This weekend I am going to look at 3 properties. 2 of which are the same owner. She owns 5+ properties in the area I am focusing on. I am compiling a list of questions to ask this owner and I figured I'd ask the BP Community for ideas on what to ask this owner. I'm going to ask her if she is willing to do seller financing so if you have any other supporting questions regarding seller financing that would be great! Thank you for all your help!

[Jerry Ellis]

I like to ask for a P&L (income statement). It will often reveal important information about the seller and the deal. For example, I looked at a triplex and was told that all utilities are paid by the tenants but there was an monthly $11 expense for electricity. Turns out there is a meter somewhere for a pole light or something that the owner paid.

An agent for another property told me that only water was paid for by the landlord but then his P&L, which by the way was just a MS Word doc with some stuff scribbled on it indicated otherwise. That same seller told the agent and all the units in all his properties were rented. One of the units of the building I was interested in was "rented" by the owner's son who obviously didn't occupy the unit as it had no stove or refrigerator and lacked furniture except for a bed. I do't think the seller was purposely lying but clearly his books are in shambles. 

So look for things to verify what you know about the property. i.e. count the gas and electric meters, etc. And asking the owner to confirm what you know doesn't hurt. I'm always polite and suggest that I might have confused my notes and just want to confirm.