A prospective client called the other day to ask about our property management services. I told him the information he wanted and then asked him what property he was buying. He told me a condo 4-plex. I said take my advice and don’t buy that type of investment property. He asked why. Here is the answer.

By the way this information is in my new book HOUSE INVESTOR’S MANUAL. A condo 4-plex may have 4 owners and 4 tenants. Never buy a building that you share control with strangers even your best friend. You will not be best friends after the experience of owning this type of investment property.

Suppose you have a bad tenant that the sharing owner doesn’t control. They may cause you to lose your tenant.

Another reason is that they are hard to rent and hard to sell. Experience tenants don’t like sharing a garage with the other tenants and don’t like the lack of privacy.

The only way to buy a property like this is to buy all 4 units. (However, I discourage buying a 4-plex period.

He asked me if he bought the property if I would manage it and I told him no. I referred him to another property manager. It sounded like he was too far along to back out.

I have discontinued comments because of all the crackpots. However, you can email you comments to me at propertymanager@arbourpm.com


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