Hold seller and real estate agency liable

[Bryan Grooms]

I am purchasing my first property from another individual investor. One of the reasons for purchasing this property is it has an existing long-term tenant whom both the seller and real estate agent say pays the rent timely. Unfortunately, the landlord cannot produce a ledger showing the rent payments and if they were made timely. The seller said that this was the last property because it was the most profitable. The seller said that he needs money for another investment. I have to pay cash so that we can close quickly.

I am just having every scenario run through my head including the one where those statements about the tenant playing timely. If that is not true and I spend the next six months going through an eviction, will I have any recourse against the seller and real estate agency?

I have a feeling that I will not be able to get anything from the seller if I have major losses. I hope I only have just that initial purchase jitters. I would appreciate any advice from experienced landlords that have been in this situation. Thank you in advance for your advice.

[Jason D.]

@Bryan Grooms are you under contract? If not get it under contract with the stipulation that you can verify payment history.

He has to have a bank account with deposits. You could also, at that point, speak with the tenants and get estoppel agreements from them stating what they pay.

Just make sure you have yourself covered...