All Forum Posts by: David Plaunt

Please drop a line here if you plan to attend!

Let's get together and talk about real estate.

Here are the topics that I would like to speak towards: 

1. Creative financing

2. Finding off-market deals

3. Building rental income through BRRRR strategy

4. How to force value into properties

And anything else that comes up to collaborate on!

Hope to see you there. 

~Davis~

The saga continues. I posted a few weeks ago about this deal where Seller filled a unit in the middle of our closing on a duplex. Now we are moving towards cancellation, but seller feels he should retain earnest money. We obviously feel the opposite.

We didn't specifically mention on PA that unit should be vacant. We just took the listing agent at her word. (Bad idea).

Although the terms of the unexpected new lease are not ideal, that was not the deal breaker. The issue we have is that a boyfriend is also living with this new tenant. The lease only covers the girl, and specifically says "the premises my only be used by the Tenant and members of immediate family". In MN that does not include romantic partners. 

The Seller's argument is that we signed for and accepted the leases as-is. Case closed. 

We feel the deal has changed because there is now another person living in the property who is not included on a lease. We gave several options to the Seller and tenants allowing them both on our lease, but they were met with deaf ears. 

Can anybody offer advice on how to proceed? 

Thank you for all the suggestions! At the moment, things have taken a turn for the positive. Will update once all the dust settles. 

Will definitely make sure to include very specific wordage in all future PAs. 

@Kim Meredith Hampton

Really? I believe we have written communication of the selling agent telling us it will be vacant.

@Kim Meredith Hampton

It was not specifically mentioned in the purchase agreement.

Would love to know any ideas out of this situation - 

Just had our offer accepted on a duplex in Minneapolis under the assumption one of the units was going to become vacant before we closed. Once we signed the paperwork, we see a brand new lease written to a person for 14 months to begin 2 weeks before we take ownership. 

This person was not background or credit checked by seller. And the selling agent advised tenant intends to have a significant other live with her who is currently not shown on this new lease. They wouldn't even offer any application by this person. 

I've ask seller to void the new lease and we offered some money to help get prospective tenant relocated. He wont budge. Threatened to go to court if we cancel. 

Would love to hear some ideas out of this peacefully. 

Thank you!

Hey Noah, how has your search for wholesaling partners been? I'm currently building my wholesaling business in Minneapolis. I'd love to hear about your methods. 

Hey Nicholas, how has your search for wholesaling partner been? I am in a very similar position in Minneapolis. Have you found any deals yet? 

This is a great idea. I'd look for houses on the metro lines and bike routes a couple miles out of the city center. Having lived in Minneapolis for 10+ years, I have lived with several different types of roommates. Some positive and some negative experiences. Just do some good vetting and it should work out.