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Updated almost 8 years ago,
Wholesale / Tenant Problem Help!
Hey guys! Happy early Thanksgiving, I have a sticky situation that I hope you can help with.
We have agreed upon a price with a motivated seller in Richmond, VA and are going to send the docu-sign contract over within the next 24 hrs for him to sign! Nice easy deal that will be a great rehab opportunity. There's just one small problem, there's a tenant living there. To make matters worse we just uncovered that the tenant hasn't paid rent in nearly a year! Long story short, the mother had a lease with the landlord and passed away a few years back. The landlord allowed the daughter to stay and never signed another formal lease. Now he is ready to sell and I want to make sure we put it under contract in a way that protects us and whoever we wholesale it to. So far here are the options I've come up with...
1. Try to talk the current LL in to evicting tenant (unlikely,he's expressed that he wants us to deal with it)
2. Talk to the tenant directly explaining that she has 30 days to leave - helpful approach
3. Cash for Keys - pay the tenant to leave
3. Wholesale with the tenant in it - let buyer deal with it
In your experience what has been the best way to deal with this? Am I within my rights as a contract holder to ask the tenant to leave myself? What verbiage should I have in my contract to protect myself and the end buyer if the tenant refuses to leave?
Thank you in advance for the advice!