Thinking of buying a tenant-occupied rental? It’s becoming a hot new investor strategy, and there are even sites like RoofStock and Mashvisor that are designed for investor opportunities, enabling the easy purchase and sale of tenant-occupied homes. If you are curious about this strategy, here are four benefits:
Buying a tenant-occupied property allows you to take advantage of immediate rental income.
As soon as the purchase of the home goes through, you will take over the lease, and therefore, the rental income.
Buying a tenant-occupied property allows you to save money on advertising expenses and agent fees.
If your plan is to rent out a property, you will have to spend money to find tenants. If you already have tenants, any advertising or realtor fees is a moot point.
Buying a tenant-occupied property allows you to avoid expensive vacancies.
Every month without a tenant in place for an investor is a month they have to cover a mortgage and utilities without any income.
Buying a tenant-occupied rental allows you to not worry about property improvements.
You won’t have to paint or change out the carpets with tenants already living there.
While there are clearly ample benefits to purchasing a tenant-occupied rental, be sure to do your homework and due diligence to make sure the property is a good investment for you. See our blog post “Tips for Buying a Tenant-Occupied Rental."
Disclaimer: The information in this blog has been prepared solely for informational purposes. The contents are based upon or derived from information generally believed to be reliable although Visio Lending accepts no liability with regard to the user's reliance on it. For legal advice, please contact your counsel.