General Real Estate Investing
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated about 2 years ago,
Inspection on Property w/ All Utilities Shut Off
Seeking info/advice around making an offer on my first investment property....
I'm working to get an offer accepted on my first investment property (BRRR on a triplex on a double lot in my local market). The seller are I are getting caught up around an issue pertaining the utilities. Currently all 3 units are vacant and all utilities have been shut off and winterized. I would like the utilities to be ON during the inspection period, and the seller isn't liking that. It sounds like the only situation they are open to is having me set up an account on the property with the utility companies in my name and agree to have all the gas and water lines air tested, turned back on, and also re-winterized should I walk away from the deal. This will all cost over $1,000 and seemingly require some weird back and forth between myself, the seller, and the utility companies around order of operations to make this happen (which equals a bunch of my time). All of this, just to get the house ready for inspection; and then there are still a handful of unknowns that could kill the deal during inspection.
On one hand, it seems crazy to invest that much time/energy/money into a property just to get it ready for inspection.
On the other, it seems like a silly variable to potentially kill the deal- I've gotten seller down on the price quite a bit and I do feel pretty excited about the property from what I know about it so far, but the projected rehab budget is already stacking up and I'd like to have as much info as I can possibly get regarding other potential rehab costs.
Thoughts? Ideas? Feedback?
Thanks in advance to all of those who kindly share their wisdom and insight so freely here!