Seller/Property Manager lied about rental income on multi family

[Mark Henry]

Outline of events

-  Bought a quadplex about a year ago

- We asked about income/expenses from the past seller and were given monthly statements/expenses for the past couple of years which looked promising.

- We have some conflicts of interests here, the seller's agent was also the previous property manager and we retained them as our property manager since this was an out of state purchase.

- Fast forward a year and the rents seem no where near what we were promised and the maintenance is on the higher side with constant evictions and maintenance issues.

- We recently secured mortgage on another unrelated property and during the process when we asked for statements from our property manager, they offered to cook the books for us to make the income show better. That was when it hit us, that they might have done the same for the previous sellers.

- What are our options now? Can we take the previous sellers and agent to court but are hesitant considering the time and additional expenses? The losses are considerable enough that we cannot hold on to this long term.

[Max T.]

Its not what you know - its what you can prove.