When you are interested in a real estate property, make sure you do your due diligence. Specifically, Rob talks about the Purchase Sales Agreement, in addition to past financial documents from the current and previous owners. Rob reviews what should go on a PSA, so we make sure the agreement is thorough before we purchase. Comb through all of the documented repairs, receipts, and other expenses, so you’re not left holding the bag later!
Purchase Sales Agreement – Putting the Property Under the Microscope
So you think you’ve found the ideal investment property. Everything looks great on the surface. The price is within your budget. Curb appeal is on point. You’re potentially entering into a turn-key operation, and won’t have to replace any staff. Now, the real work begins.
Before committing to this real estate investment, you need to put together a Purchase Sales Agreement. Sounds simple, right? Well, get ready. You and your team will be reviewing past financial statements, repair contracts, legal disputes, and more. You name it, and you could be on the hook for it! The Purchase Sales Agreement is the most important in a series of hoops you will jump through before purchasing your dream rental property. It will pay off to be as thorough as possible and get outside help in evaluating the property.
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Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL ALL-In Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!