3 Days before closing seller is asking for an extension

[Marcus Gaethke]

Hello all thanks in advance for any help. My question is, Am I being unreasonable? I am in the process of purchasing my first rental property. Everything has been going fine except the current tenants were supposed to move out and haven't yet. My closing is scheduled for tomorrow and we were just told Monday that the tenants haven't moved out and the court date is set on the same date and time we were supposed to close. The seller has asked us to agree to an extension in order for them to be able to complete the eviction process since we have in our contract that the property will be vacant or the owner will provide us with the lease and the security deposit. One unit is completely ready to rent and I had showings lined up to turn around and have it rented by the 1st of June ($1,025). The other unit needs a minor-moderate rehab which I had a contractor lined up to work through the holiday to turn the unit around within the first week of June (rent will be 1,250), additionally I took extra days off work to be able to get in and do work myself. I told my realtor to ask for $2,000 in buyer credits at close for us to extend since I am going to be loosing more than that. They turned around and said, "the way the offer is written we can give you the security deposit and lease and close anyway" I don't believe that they can give me lease since they already served the tenants that they weren't renewing the lease and are in the process of a court eviction. Am I being unreasonable sticking to the $2K in buyer credits at closing? The other thing is that once rehabbed I should cashflow ~750 per month using the calculator ~1,300 after PITI. This property is probably a C class property in a D class neighborhood.

[Wayne Brooks]

@Marcus Gaethke It’s always difficult to get rid of a tenant for a closing. And yes, the owner can still cancel the eviction, give you the deposit and a lease, and close...and You get the problem tenant.