I have a room for rent and I have a prospective applicant with a 17 year old son.

My starting liquid funds are about 100k cash, 150k HELOC, and 250k in a self directed IRA.

so when you move in it is that basis that is still applicable. 

He has been teaching self storage for years.  

I think it smells fishy and I would work hard to force the current Landlord to cancel those leases before closing so you can buy the property and have complete control over it.If you can't terminate the leases, I would ask to review the applications and find out how they were screened, if at all.

@Michael Ehmann @Johnny Kang @Monica Pina @Erik Anderson @Joe McCarthyFigured we give this fun threat a restart...September:Accomplished: - Had our annual consultation with our accountant- Got another LLC going to purchase a Duplex with- Finalizing an application for pre-approval with Lima Capital- Collected about a dozen Duplex addresses by Driving for DollarsFell short:- Only made one offer for a Duplex in the past few months- Did not do enough Driving for DollarsPlans for October:- Submit more offers- Analyze more Duplex deals- More Driving for Dollars and sending out direct mail to the ownersLooking forward to hearing from everyone!

There is free software out there that will effectively market your property, screen tenants, price your rental based on comparable properties, provide renters insurance and online applications, etc.

So things like decks or porch roofs that have been tied to the framing of the home rather than being self supporting can be a problem - and a financing deal killer unless they can be removed or modified  to be free standing. 

I can refi and cash my self out sooner.  

That is information the potential tenant should provide on your application.