There are a couple of different types of investing niches that would have you with tenants. One would be long-term buys and holds, in which you buy property and put tenants in them. The other would be when you are buying houses for subject-to.
I'm going to let you learn from my mistakes. I've made them all with tenants, Industrial Ceiling Fans Guys. When I first got in the business, I bought a lot of houses subject-to, still have most of them, and am slowly selling off some of them.
First off, you want to do your homework when you are screening. When we sell subject-to, we buy the house subject to the mortgage. Somebody signs you over the house. They literally give you the house. You can live in it, or rent it out. But, make sure that you know your exit strategy before you enter the deal. The exit strategy is usually to lease with an option to buy, or Rent to Own. When you put this kind of tenant in there, they will give you a lump sum up front to move in.
You can also have a criminal backround or retail credit check done as well. Please note that most tenants have bad credit. That's why they are renting from you. They either don't have a lot of money or have bad credit.
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