When acquiring a tenanted property, it is crucial to ensure all relevant contracts are reviewed, prior to you purchasing unconditionally.
What are the Pros and Cons to buying a property with existing tenants?
Pros
•You won’t need to pay a letting fee or spend money on advertising for a new tenant
•You will save time not having to vet applications and do bad tenant checks etc
•Receive income immediately
Cons
•Existing tenants may not meet your standards
•Tenants may not appreciate your style of management
•Inadequate or unfavourable contract for you as the owner
•Tenant may see this as an opportunity to lodge a list of maintenance requests
•It pays to do your research on the tenant by asking the landlord or current property manager and also, try to find out if the previous owner and or Property Manager, was too complacent and did not hold the tenant to account.
When you buy a tenanted property, why not use RealRenta to look after all your Property Management needs
Marlene Liontis
Saturday, 15 September 2018
