We file a copy of the letter with the lease document.As others mentioned, if you get an estoppel signed by the tenants, it is verification of the rent amount they are now paying.

It seems like it would have been ideal to have been provided with a little bit more information on the tenants you were about to inherit, and I'm not sure how that would have worked with verification of current lease status? 

It is a part of my verification process that I do each time, to see how much the property is really worth.

Actually, the OP post should be directed to to the bad guy investor, IMO.

It was crazy.In the end, it comes down to being able to support the purchase price with verifed closed sales. 

This makes it even harder for lower income (including drug dealers and people most of us don't want to rent to) to find affordable housing, and for landlords to provide these people with a livable house at a cost that makes sense.Point being, that everyone's definition of "safe" is different.

There are so many variables, it would take quite a bit of investigating, hours,  to to determine if it's a good deal or not.

Does anyone have recommendations/best practices to share around income verification for retired/semi-retired individuals?

Also, if you are borrowing money, make sure you speak to your lender to to ensure you meet their minimum requirements, as well.

Usually with a simple background check, credit record, and income verification you can get a general idea about the person.