Purchasing a property that has a squatter (New York State)

[Erik Satterthwaite]

Hello all,

I need some advice.  I've been in communication with an exhausted landlord in upstate New York.  He has a property that he wishes to sell, which has a "squatter" tenant that has not paid rent in ~3 years.  The landlord and tenant have a VERBAL rent-to-own agreement that the tenant stopped honoring (by not paying rent) ~3 years ago. The tenant performed some work on the property and feels the owner owes him $55k for it. There are no written contracts for any arrangements made between the two parties. The landlord is unable to get in contact with the tenant; tenant has not responded to the landlord in years. The landlord has never proceeded with legal action however. He is an older gentleman that doesn't want to deal with any of it.. great motivation for me to get this property for cheap.

My concern is, what recourse would I have dealing with the tenant if I purchase the property?

Can the tenant use "squatter's rights" to lay claim to the property?

Is there anything preventing me from evicting the tenant easily? Does the tenant have a right to place a mechanics lien on the property for the assumed work? There were no permits pulled for any work done.

What can I expect in dealing with this tenant/purchase? 

Thanks in advance!