I am closing on a park next week Friday.
Should the seller transfer the security deposits to me? Or should he transfer the deposits back to the tenants?
The seller says that he has $100 security deposit on each lot. Should I be worried that perhaps the security deposits are actually more than $100? And then later the tenants will come after me for more than $100?
Should be in the lease that they currently have. You can also verify with one of the tenants.
The Seller should transfer these to you, and should be based on the actual leases provided or estoppel letters with signatures from the tenants. You must have something with the tenant’s signatures that shows what their deposit is / was - and that comes to you so that when they move out you have it.
An additional note. If the Seller has any information on the condition of the property when he rented it out to the current tenant, I would make sure to get that info for the file because if the property is now in worse shape than when the tenant gained possession, but it doesn’t deteriorate any further after you take over, you still have grounds for using the security deposit to offset the damaged property which you bought. Just a thought.
You should have all those leases in due diligence to review.