Determining the occupancy status of a real estate property is crucial for various reasons, including property management, sales transactions, investment analysis, and more. Here’s how you can determine the occupancy of a property:
- Physical Inspection:
- Conduct a site visit. Check for signs like vehicles in the driveway, lights on inside the house, regular mail (not just junk mail) in the mailbox, functional utilities, etc.
- Look for signs of life inside, like furniture, active utilities, animals, or personal items.
- While at the door use clear tape in two locations to check if the seal has been broken, this is also good after leaving a vacant property to know if anyone has gain unauthorized access. (Safety Tip)
- Utility Bills:
- Checking the status of utilities visually at the property can provide a clue. If water, gas, and electricity features shut off notices or even locks on meters.
- Speak to Neighbors:
- Neighbors often have insight into the occupancy status of nearby properties. They can tell you if they’ve seen any activity at the property recently or a moving truck in the driveway just loaded up the RV for a vacation.
- Check with the Local Post Office:
- The local post office can confirm if mail is being regularly delivered to the property. A stopped or held mail service can be an indication of vacancy. You may also want to consider sending a signature required letter as additional verification.
- Lease Agreements:
- For rental properties, review the lease agreements. The lease can provide details about the tenancy duration and terms.
- Property Management:
- If the property has property management sign posted, they can provide occupancy details.
- Security or Alarm Companies:
- If the property has a security system or alarm monitoring service, they might have logs of when the system is armed or disarmed, indicating when someone is at the property. It’s a good time to ask for details if that system is owned or rented.
- Tax Records:
- Some municipalities may have tax classifications based on occupancy type, checking with the local tax assessor’s office may also assist if they have another residence or where they receive mail.
- Local Government or Law Enforcement:
- In some areas, vacant properties must be registered with the local government or law enforcement agency. Check if there’s a registry for vacant properties. If some locations often code compliance officers have knowledge of vacant properties and are egar to speak with someone to secure the residence especially on banked properties.
- Tenant Communication:
- If you believe the property should be occupied by a tenant, attempt direct communication. This could be through phone calls, emails, or written notices.
- Advanced Technology:
- Some modern property management platforms have integrated technology like smart thermostats, security cameras, or entry logs that can help determine occupancy. This can also be the case for HOA that have gates code access.
- For Multi-Family or Commercial Properties:
- Review the rent roll. This document provides details on all leased units in a multi-family or commercial property, including the status of each lease.
- Hire a Property Inspector or Preservation Company:
- For properties in foreclosure or owned by banks, a property preservation company or inspector is often hired to determine occupancy and secure the property if it’s vacant.