Just bought a Fourplex and what do i find?

[Sorab Gakhar]

So I just closed on a fourplex in Stockton and I have a guy collecting rent who I inherited from the previous owner. He tells me yesterday that he has everyone's rent and we start going through the numbers and I notice he's offby $100 on each unit and $150 off on 1 of them and I say no that's not right. I have the leases and estoppels right here and they are stating something else. Now this is what I based all of my calculations on and if its less $450/mo then this property I just closed on is a dog and a monthly loser.

So the rent collection guy says that this is the rent everyone has been paying for a long time and if I raise it the people will leave. This is a concession the previous owner made to everyone verbally. So I say to myself what the heck? The lease and estoppels have been wrong and forged and information not disclosed and now what should I do?

Ideas welcome. Looking for help and guidance from our wonderful community.

[Dawn Anastasi]

Why would someone sign a paper saying they were paying $550/month when they were paying $450/month? Let them know that this is what they signed and stated and you need to collect what was in the lease. If they balk or threaten to leave, maybe you should let them.

Look at market rent. If you're within market rent, let them know that they can move, but they're just going to be paying $550/month somewhere else and they have the headache of moving.