All Forum Posts by: Charlie True

This is just my perspective as an owner of rental properties. I would NOT take into consideration any rent that you have paid in the past. That rent was paid for a service.  Let's say you lease a car for 3 years, would you expect the car company to give your credit for those 3 years of lease payments when you decide to buy it at the end? Nope, doesn't work that way. Your offer of $260K on a house valued at $250K to $275K is a fair offer though. 

Congratulations on taking the first step towards potentially purchasing your current rental property! Here are some tips to consider as you prepare to make your offer:

1. Be respectful and professional: It's important to approach this meeting with your landlord in a respectful and professional manner. Avoid making any lowball offers that could be seen as insulting or disrespectful. Show your landlord that you are serious about buying the property, and that you are willing to negotiate in good faith.
2. Do your research: It's great that your realtor provided a CMA, but it's also a good idea to do some research of your own. Look at similar properties in the area that have recently sold, and consider factors such as the property's age, condition, location, and any unique features it may have.
3. Consider the current tenant: If you plan to continue renting out the upstairs unit, it's important to consider the current tenant and how they might be impacted by the sale. Will they be able to continue living there, and under what conditions? It's also worth considering the rental income you'll be receiving, and how it will factor into your offer.
4. Be open to negotiation: Remember that your initial offer may not be accepted, and that there may be room for negotiation. Be prepared to discuss and potentially adjust your offer based on any feedback or counteroffers from your landlord.
5. Discuss financing options: If your landlord is open to selling, it's worth discussing potential financing options. Your realtor mentioned the possibility of using rental income towards the principal, but there may be other options available as well. Consider working with a financial advisor to determine the best financing strategy for your specific situation.

Overall, the key is to approach this meeting with a clear understanding of the property's value, a respectful and professional demeanor, and a willingness to negotiate and work with your landlord towards a mutually beneficial agreement. Best of luck with your offer!

This is just my perspective as an owner of rental properties. I would NOT take into consideration any rent that you have paid in the past. That rent was paid for a service.  Let's say you lease a car for 3 years, would you expect the car company to give your credit for those 3 years of lease payments when you decide to buy it at the end? Nope, doesn't work that way. Your offer of $260K on a house valued at $250K to $275K is a fair offer though.