Michigan Real Estate Investing TV: Trust But Verify!

When I visited the Mt Clemens property I realized that Mr Seller was renting out a storage room as a studio, and he had included that revenue in his numbers. I then used those numbers to make my offer. Since it's not practical to plan to re-rent a potentially illegal studio, I re-ran my numbers and as you'd expect, removing that revenue significantly impacted the profitability of the property. And not in a good way.