I went to see a home yesterday because it was kind of in my sweet spot area, but not quite. That and I’m itching to buy something. We haven’t bought a house yet this year which seems insane after buying 9 last year (and then selling one).
The home came to me through a friend that wholesales. If you know me, you know I largely despise wholesalers. But my buddy is honest and good at what he does. It was priced at $26,000 and the house looked solid and was on a solid block.
But I knew I didn’t want it as soon as I walked in. There were tenants… a lot of tenants. Now, I’ve purchased homes with tenants before, and I even still have an inherited tenant (she’s great, I love her), but the other times have been nightmares and a complete pain getting them out. I can’t imagine doing it now with COVID and the eviction moratoriums we’ve been seeing.
I told my friend that it wasn’t for me, because “I don’t want to deal with people.” That’s partly true. But the other part is that my strategy has shifted a bit.
I want them vacant because I want to get in there and do what I need to do to update the house and push rents as higher. People like to think they’re buying a producing property when they have a existing tenant, but I promise you that’s almost rarely the case.