Just received an accepted offer on multiunit

[Lee L.]

Just received an accepted offer 10 minutes ago on an 8 unit property. They were refusing to allow an inspection so I ended up waving it after talking to an experienced real estate investor based on his suggestion. Four units are currently rented out the other four are in various States from completely gutted to needing to be gutted to very long time since it's been renovated.

I have 5 days to pay the ernest my realtor juat told me, which is no problem. What are the big questions I should be asking and getting set up and aligned for when this property becomes officially ours?

Can someone give me a checklist of most important improvements to a unit to make it rentable?

I also imagine I'm going to need to reach out to the current tenants and inform them where to send their money and how excited I am to take over the property and give them new lease agreements? Or am I going to have to accept them as my current renters until their current lease expires?

Just need to get focused here and I kind of want to checklist to go off of for my situation so I can better focus my time and create systems.

Any and all advice welcome references that you could link me to would be much appreciated.

Don't let me down bigger pockets!

Lee

[Brenden Mitchum]

Hey @Lee L., welcome to the BP community!

Well, this is certainly going to be a trial by fire for you. Sounds like you just got something under contract and you're already thinking about taking over the property. What due diligence have you done, if any? Did you just waive an inspection contingency or did you actually agree to not have any kind of inspection? Have you seen all the units, including the occupied ones? Have you seen a rent roll or P&L?

If your answer is "no" to all of these, I'd strongly urge you to get this done before you close on the property. Sounds like you also need to walk units with a contractor since they're in such bad shape. Just so many unknowns here...

Get copies of the leases too so that you can see what the terms are. You are bound to those terms once you take over the property and cannot issue new leases unless the terms allow you to or the tenant agrees. 

FYI going under contract is not the time to reach out to a forum for a list of everything you need to do next. I'm hesitant to say this because that person may have already misled you but maybe your experienced investor contact can help you put together said list.

Hope this helps a bit. Also, hope this isn't going to be as much of a nightmare as I'm picturing. If you have more info or other questions about the deal, feel free to drop those in here and we'll answer to the best of our ability!