buying with renter in place

[Mario T.]

I need a consensus on something.  I'm considering purchasing a duplex with renters in place.  I'll be a first time landlord.  What are all the things i should be looking for?  Pitfalls?  Red flags?  Any info regarding this would be helpful

Thanks!

[Marcia Maynard]

You won't find a consensus on Bigger Pockets, but you will gain quite a bit of insight! :-) 

Buying a property with tenants in place is fine with us. If the are good tenants, they will adapt well to our contract and management style. It they are bad tenants, they typically will quickly change their ways or move out on their own.

When buying a property with tenants in place ask for copies of the rental/lease agreements, verify all security deposits are notated and will be transferred at closing. If the documentation from the previous owner is sketchy, get signed estoppels from the current occupants. Also, insist on seeing inside all of the units, sooner than later.

Read up on this topic by searching the BP site... use "tenants in place" or some other keys words. You will find loads of material.

Happy Investing!