What To Look For When Buying Damaged Rental Homes
Something to think about when you're looking at damaged
homes. If these homes were rentals, I would like you to seriously think
about what I am about to say. Most tenants have no desire to maintain
any property that they don't own and will not benefit from. I have
worked on plenty of rental homes that suffer from neglect and zero
maintenance. These homes usually have more problems than you could ever
If you're thinking about purchasing a home that was a rental, spend some extra time, inspecting the home for other problems. Most landlords, purchase homes to rent for one reason, "To Make Money," and they hire the cheapest handyman, who install the cheapest products, in order to save a couple of dollars.
This is extremely common among real estate professionals who manage property or own their own rental units. You're probably wondering where I got this information from, I use to fix up rental homes and have limited experience dealing with real estate professionals and property managers, because early on in my career, they tried to take advantage of a young contractor who was just starting out in the business.
Most of these contractors are either young or inexperienced and will let the property owners abuse them. They don't know any better, most of the time. The property owners will promise them more work if they can keep their prices, "reasonable." In other words, cheap. When the contractors or handyman, finally realize that they're being taken advantage of, or not getting paid on time. Most of them will look at it as a lesson learned and quit, while the property owner has already lined up there next victim.
Not all rental homes are a nightmare. Not all real estate professionals operate in this manner. But most property management professionals do. Their business is about making money and in order for them to keep their prices reasonable, they have to higher low priced handyman who usually lack the much-needed experience to do the repairs properly.
You could end up buying a home that would require the replacement of these inferior building products, within a short period of time. Beware of realtors who are selling their own rental property, especially those who are trying to hurry you a long and telling you not to worry about this or that, it's not a big deal. Once you buy the house, it could be a bigger deal and they will be out of the picture.