Hello Everyone,
I closed on my first 3 units family investment property yesterday.
House is located in Providence, paid 320K, property in great shape and has character. There are 2 bed 1 bath units, the first two floors have large living room with fire places (not working and there are also large dining room and fairly spacious kitchens. Monthly rent is $3700.
By the end of the day as I was calling the tenants to to introduce myself and give out instructions as to the rent payment. I found out that there was a messy situation between tenants on the third floor (two young women, on is a mother of a two years old. Both women are on the lease), and the tenant on the second floor a young man in his 20s (whose mother is a co-signer on the lease).
Tenant of the second floor unit, has a Pitt bull on premises (not on the lease and it says no pets unless there is written addendum added to the lease). It looks like more people (not on the lease) are living in the apartment (2 to 4), drinking, smoking, fighting, load music and partying goes on until dawn. I observed a Cadillac SUV in the garage allocated to apartment 2nd floor unit. Damage to garage door after partying or fighting reported by other tenants and only now confirmed by seller's agent.
Furthermore, one of the tenants on the 3rd floor has reported to me that tenant of second floor has made threats to physically harm her. She also said that her two years old child is constantly inhaling smoke coming from the second floor, and she is afraid the Pitt bull may harm her child as it is sometimes let loose in the stairs and the back yard.
The mother of the 2nd floor tenant is a nice lady, I have met her once while I was there with the house inspector. When I called her today to introduce myself as the new owner, she swiftly paid me the March rent. I was not aware of the problem when I called her.
I don't want to deal with a young man who may be violent and has 3 more men who may also be violent and a pitt bull living in the apartment. The person who opened the door when we did a final walk through looked rough (I was told by seller's agent that he was the tenant brother only there while the tenant was traveling and watching the dog and the house). We never got to see the bathroom as the rough looking guy claimed someone was there. I also saw two more people swiftly leave by the backdoor and jump in the SUV Cadillac and come back when we left to park right back in the garage allocated to the second floor apartment. This morning I received photos of pittbull poop on the hallway in front of the second floor apartment which I swiftly forwarded to the mother.
I do not want this tenant at all as I can totally relate to what the third floor tenant has expressed in some of her text messages with former owner. "I don't feel safe with them on the second floor" her words.
I called back the mother lease co-signer and I said to her that I think her son needs to find a new place as there are too many issues and it was beyond anything she can do to fix it. She tried to blame the other tenants and I had to cut her short.
The seller agent offered to find her son a new apartment and take care of the process so we can part smoothly without having more drama. Both I and the seller agent spoke to the mother in length and she agreed over the phone. He already sent her a new place to look at.
I am new at all of this and I want to do things properly. How do I handle this?
What should I do or not do?
How do you handle a new acquisition with tenants in a most professional way.
Please help
