Our First Multi Family - And We Were Duped

[Sarah Karakaian]

Well, we just closed on a 4plex. 

We did everything we were supposed to. We used the calculator. We calculated for CapEx and even put aside 12K for each door for emergencies.

We hired a home inspector.

Thank goodness we're experienced contractors.

One of the tenants moved out 3 weeks before we closed. The sellers let her move out early. We thought they were being nice b/c they knew we needed to live in one of the spaces. 

Nope, it's because Unit C experienced a major leak in her living room window each time it rained. She noticed mold growing on her carpet. The old owners refused to fix the problem...so she moved out.

Before our final walk through, the owners had the carpet cleaned. And never disclosed the leak. 

Not only that, but when we introduced ourselves to Unit A he also told us Unit C's shower was leaking into his bathroom and had been for some time. 

This 4plex is in Columbus, OH is one of the best neighborhoods, so we have that going for us. 

Do we have any rights here? The home warranty allows for $320 per unit...hardly enough to address these issues. 

Thanks for any words of encouragement or advice on how to deal.