With investment properties, there is money to split or transfer at closing.  I had a client asking about this the other day as the closing on his new duplex in Champlin is coming up this week.

Bottom line, as the home buyer, you should get prorated rent for the month that the closing occurs – you will get rent for the actual day of closing through the end of the month.  You should also get the security deposit plus accrued interest for the time period that the tenant has already lived in the property.  Taxes will also be prorated just like any other transaction. 

Utility bills should be paid by seller up to day of closing and should be transfered to the seller starting day of closing and moving forward.

To ensure a smooth home buying transaction, your realtor should make sure these funds are being handled correctly through the title company.

Jen McKinnon
Realtor/Investor
612.384.1073
jen [at] mnrealestateteam [dot] com

AGENT REFERRAL NETWORK
MN Real Estate Team