Looking To Be Informed!!!
Hi Everybody,
Where do I begin? That is the question I have been asking myself for a long time. I am about to purchase my first investment multi-family home (2-Unit) in a month 
I was tired of thinking and dreaming and decied to be PROACTIVE and go out and take the leap of faith. Looks like I will net about $300/mo after note is paid and utilities which present owner pays (gas). I am thinking of getting another water heater and have tenants pay for their own water, electric and gas. Im going to introduce myself to the tenants this Saturday when I get the home inspected. I want to ask them questions about how they like the place, utilitiy questions, etc.
If I could get some guidance on what to expect in the near future, what questions to ask before I close in a month, etc. I just dont know what to expect and if I should be doing something else, asking more questions to seller, tenants, etc. So if you Real Estate Gurus can help this Proactive student, I would be much appreciated and grateful. Thank you all and hope the best for all of you 8-)
Thanks,
Proactive1
Proactive1,
Glad to meet you.
It sounds as if you are headed in the right direction by doing your own due diligence on this property, so talking with the tenants sounds like the way to find any hidden problems beyond what the seller may tell you.
You are doing fine and good luck with this property.
John $Cash$ Locke
[addsig]
asking the tentants to pay all utilities after they have been used to geting them free can get "sticky". for them it would be a large increase. be prepared for them to move out . you will have to sign them under a new lease , if they are presently under one, to reflect this new policy. place a add in the paper "for rent" and be interveiwing new tentants just in case........kenmax
Thank you guys for your input, it is much appreciated. I hope things do go well. The tenants right now are on a month to month basis with the present owner, i would like to have them sing 6mo/1 yr leases and have them pay for their own utilities. Also what about lawn maintenance and snow removal since I live in the Chicago area. Should I tie that into the lease that they will take care of the residence or pay for someone to come in and shovel the driveway and cut the lawn even though it takes 2 minutes to cut the grass since the lawn is very small?
Also how long is the norm when people go out to buy their second investment property? Do they have to have so much equity built up in their first property before they go buy their second? I would like to buy a 4-unit by spring of 2005 at the latest, what is the best plan? Thank you again for all of your insight.