All Forum Posts by: Nathan E.

Well I just had another experience with leasing out a single family home. My tenants looked to be perfect. They are an older couple, both working age with no kids, good credit, and enough earnings that the rent as a percentage of income was in the teens. Looks perfect right?

Well yes and no. These tenants are responsible people meaning that the rent was always paid on time, the house was kept in good order, and generally I didn’t get a lot of hassle. The problem is that they didn’t need to be renting. Before the end of the lease, I got the call that they had an offer accepted on a house in the area and wanted to break the lease. We worked out a deal where they would pay for the month that they move out giving me some extra time to get new tenants.

While I still rate it as a good experience, this is just one more thing to think about when selecting tenants.

I was looking into it, but will be out of town.  If you attend, let us know how it went.

-Nate

Hmmm. I'm assuming that the your father in law purchased the home recently?  This sounds like something that should be avoided at all costs. There would have to be no other comps in the area to even think about it.  Still, it would be a slippery slope for the industry.

JB, this is a great idea! you may not be aware, but there is already a meeting with a bunch of orlando note buyers and private mortgage holders on the first Tues of each month.  It is done through Central Florida Realty Investors.

@Edward Synicky 

 Thanks for the encouraging words. I am certainly looking forward to networking.  I've tried the MEET feature, but have had limited success filtering through the results.

I have been a member of BiggerPockets for about a year, but never posted my introduction.  How rude! Well here I am to make it right.

I started my investing career shortly after graduating college, purchasing my first house in mid 2006 here in Central Fl with big plans to make money and roll it into additional purchases. I must be a market timing wizard since I nailed (I mean to the month) the peak and had to watch my equity grow in the wrong direction for 5 years! I could have walked away, as so many people were, but I couldnt live with that lack of integrity. I knew deep down that its the people who follow through with their agreements that come out ahead in the long run. I still have that place rented out.

Fast forward to today. I have an additional property and am actively seeking a third and fourth within the year. Over the past year or so, I have really ramped up my real estate education with the local REIA (CFRI), and BP. Shout out to CFRI and Bigger Pockets, what top notch organizations!

I am slowly building this business, taking my time to do it right and operate with transparency. I can't say how much I appreciate the BiggerPockets community for it's networking and educational opportunities.

Regards,
Nate Earle

Only the ones I want to buy :)

Thank you for the replies. As usual, this is great information. @Tyrus Shivers  This is not really an issue of the seller not telling the tenant here. Also, there is no inspection clause, it's inspect before you sign. I'm going to go out with a professional inspector to go over the major items and check permits since the square footage is not as listed with the property appraiser. I know some may consider it overkill, but like I said, Im big on inspections.

Does anyone have experience buying wholesale renter-occupied properties? I'd love to hear about you experience, especially in regards to inspections.

Thanks!

Nate

I am huge on inspections, wanting to know as much as possible about a house before I put down any money.  In general, I have a professional inspector go through the entire property.

Recently I've come across some renter occupied wholesale properties.  One of them, I let go because I couldn't get in and do a thorough inspection.

For those that have experience buying renter occupied wholesale deals, how do you handle inspections, given that this is sometimes touchy?