If you are considering buying a tenanted property it is important that you ask the right questions such as how much is the rent, is there a bond held, how long have they been in the property for, have they been issued any breach letters/notices, how many people, pets, etc. to mitigate any ongoing potential risk.
The tenancy agreement terms are important as well. The agreement between the tenant and the current landlord are transferred to the new property owner if it is a fixed term tenancy upon settlement. A fixed term tenancy cannot be terminated prior to the end date without the consent of the tenant.
Taking on the tenants can be good or bad depending on how well the tenancy has been managed. In addition to the above questions you should also request a copy of the tenant’s rental ledger to determine that rent is being paid on time, the tenancy agreement, property condition report and the bond lodgement form.
If you are considering buying an investment property, please feel welcome to speak with one of our friendly and knowledgeable property managers with any question that you may have.