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Updated over 3 years ago on . Most recent reply

User Stats

4
Posts
1
Votes
Yulanda M Weather
  • Rental Property Investor
  • New Jersey
1
Votes |
4
Posts

Purchasing a triplex with a non paying tenant in New Jersey

Yulanda M Weather
  • Rental Property Investor
  • New Jersey
Posted

Hi BP, I would like some advice on a triplex I will be acquiring on June 30, 2021. The current owner disclosed that one of the tenants (occupying the biggest unit) has not paid since April, 2020. His lawyer filed the eviction with the courts, but due to eviction moratorium no court date has been scheduled. I'm in NJ, and eviction ban is scheduled to end on July 15, 2021. I don't feel this is a deal breaker due to the additional units covering the mortgage & expenses, but I would like advice. Should I change the closing date from 6/30/21 to a date after July 15, 2021?  I'm assuming I cannot collect or receive the past due amount to current owner? Also, once I obtain ownership, do I file with the courts again or can I pick up where the previous owner left off. I appreciate any advice and thank you for your taking the time to read my situation.

  • Yulanda M Weather
  • Most Popular Reply

    User Stats

    4
    Posts
    1
    Votes
    Yulanda M Weather
    • Rental Property Investor
    • New Jersey
    1
    Votes |
    4
    Posts
    Yulanda M Weather
    • Rental Property Investor
    • New Jersey
    Replied

    Thank you Gaetano. I appreciate your advice. I received a credit for a few issues after the home inspection was completed, hopefully he'll agree to a credit or extension. Once this tenant is removed ( it's currently rented below market), I plan to do slight upgrades and increase the rent on the next tenant moving in. I have alot invested in this so far with earnest money, appraisal fees, inspection, insurance, lender fees, etc I feel it will be a great loss if I back out now. Thank you again for your advice. I'll post the outcome, hopefully it will help another BP member. 

  • Yulanda M Weather
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