"Those
who trust to chance must abide by the results of chance."
- Calvin Coolidge
Our
acquisition due diligence is intended to put our clients in the position to make
a well informed investment decision regarding the acquisition of the property.
Our
due diligence thoroughly reviews and inspects the property's financial statements,
leases, rent roll, unit interiors and property exterior to indentify conditions
affecting the propertys ability to henerate net operating income.
Our due
diligence has uncovered important considerations such as: - several
units being provided rent free to a non-profit group
- units
off-line because they are cannibalized
- thirteenth
month free and other concessions owed to the existing residents at a time after
close of escrow
- seller's
capitalization of operating expenses by the Seller which really belong in normal
operating expenses
- construction
defects such as polybutylene pipes, sub-grade leaks, and poorly maintained or
constructed roofs
- extremely
overstated rent rolls when compared to the actual resident leases
If
you would like to review the details of our Due Diligence, click
here.
The
phrases,
"Caveat Emptor" and "Buying As-Is, Where-Is"
show the need for our services as a Buyer's representative." "Success
depends upon previous preparation,
and without such preparation there is sure
to be failure."
- Confucius |
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