If you send them a recorded copy of the deed the seller does not need to sign a letter. I had an underlying private note sold to FNAC. They sent an unrecorded assignment and no letter from the seller. Just plain sloppy work.
You have outlined the basic real estate transaction. Often people use an escrow company or person to hold the money and the deed, so that neither side can cheat the other one. The deed is recorded when the money is able to be handed over to the seller.
You understand that sometimes houses have problems? Structural, title, location, etc. You want to make sure you know what you are buying. You may want to hire people to investigate the house for you: termite inspectors, roofing experts, soils engineers. How about a “building inspector?” Or perhaps you could get some help from some very sophisticated investors in your area.
You want to be sure about the location of the property – is it going downhill? Uphill? Even?
What about zoning? Does the property conform to current zoning laws? How about conforming to current-day building requirements? It would be a shame to have a fire-damaged building on your hands and find that the county or city will not let you rebuild it as it was.
Oh, you ditn’t mention insurance. Is the house eligible for standard insurance?
There are a lot of ways to lose money with real estate. If you don’t know what you are doing, I hope you will have some advise from people who do.
Yes, I have check out all the details, as far as property values, where the N’hood is going. The property is not that old and is a well established suburban n’hood. It is a rental and the owner is out of state and needs a little cash, so they are willing to let go a lot of their equity.
The most work for me is a letter to notify the tenant of the change in ownership and a 60 day notice to vacate, a little clean up and the retail it out.
I think you will need a letter signed by the seller informing them of the sale of the property and where to send all future rent payments. Then a follow up letter by you. Make sure you also verify and clarify any security deposit issues that the tenant may have paid.
You stated you will serve the tenant a 60 day notice to vacate. Do they have a signed lease or are they on a month to month? Usually if they have a signed lease the buyer will have to honor the balance of the lease unless your state has specific laws that allow otherwise.