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fourplexes.CA

The due diligence room

Know what you know. See what you don’t.

Turn questions into an evidence file. Mark what is verified, flag what concerns you and carry the unresolved issues into your offer, lender review and professional advice.

This working file autosaves only on this device. It is not sent anywhere until you submit a request.

Choose the file

0%
0 of 21 reviewed0 concerns · 10 critical unanswered

City records + legal review

Legal configuration

  1. 01
    CriticalEvidence question

    Do the legal records support the four-unit configuration being represented?

    Evidence to seek
    Permit history, approved plans, City confirmation and professional legal review
    Why it matters
    Physical doors and kitchens do not prove legal status.
  2. 02
    CriticalEvidence question

    Do title, the real property report and current improvements agree?

    Evidence to seek
    Current title, registrations, RPR and compliance evidence where applicable
    Why it matters
    Encroachments, easements and unrecorded changes can affect use, financing and resale.
  3. 03
    Evidence question

    Were material renovations and suite changes properly permitted and closed?

    Evidence to seek
    Development and building permit records, inspection status and invoices
    Why it matters
    Open or missing permits can become the buyer’s problem after closing.
  4. 04
    CriticalEvidence question

    Is fire and life-safety separation supported by evidence?

    Evidence to seek
    Approved plans, inspection records and qualified building review
    Why it matters
    Marketing language cannot establish compliant separations, exits or alarms.

Seller documents + lease review

Income and tenancies

  1. 01
    CriticalEvidence question

    Do signed leases, rent deposits and the rent ledger reconcile?

    Evidence to seek
    Every lease, amendments, deposit ledger and at least 12 months of receipts
    Why it matters
    A rent roll is a summary; the leases and receipts are the evidence.
  2. 02
    Evidence question

    Are there arrears, concessions, disputes or notices not visible in scheduled rent?

    Evidence to seek
    Ledger, written notices, seller disclosure and property-manager records
    Why it matters
    Contract rent and collectible rent can be different numbers.
  3. 03
    Evidence question

    Can any projected market rent be supported independently?

    Evidence to seek
    Comparable leased units adjusted for size, condition, utilities and timing
    Why it matters
    Asking rents and renovated-unit projections are not achieved income.
  4. 04
    CriticalEvidence question

    Is the closing plan consistent with Alberta tenancy obligations?

    Evidence to seek
    Lease review, deposits, notices, estoppels where appropriate and legal advice
    Why it matters
    A buyer inherits more than the monthly rent figure.

Qualified inspection + specialists

Building and site condition

  1. 01
    CriticalEvidence question

    What does the roof, envelope, grading and drainage say about water risk?

    Evidence to seek
    Inspection, moisture review, repair history, drainage observations and invoices
    Why it matters
    Water paths can create the most expensive invisible problems in a multi-unit building.
  2. 02
    Evidence question

    What is the condition and remaining life of major mechanical systems?

    Evidence to seek
    Equipment ages, service records, specialist review and replacement estimates
    Why it matters
    Four units can multiply hot-water, heating and ventilation exposure.
  3. 03
    CriticalEvidence question

    Do electrical and plumbing systems support the existing use and insurance terms?

    Evidence to seek
    Inspection, service sizes, panel review, material identification and insurer feedback
    Why it matters
    Capacity and legacy materials can affect both immediate work and insurability.
  4. 04
    Evidence question

    Are environmental or hazardous-material questions resolved for the building age?

    Evidence to seek
    Specialist testing where indicated, disclosures and prior reports
    Why it matters
    Suspected asbestos, mould or contamination should be priced with evidence—not assumptions.
  5. 05
    Evidence question

    Is there a realistic five-year capital plan after inspection findings?

    Evidence to seek
    Itemized repairs, timing, quotes and a funded reserve plan
    Why it matters
    An inspection list becomes useful only when it is translated into timing and dollars.

Bills + insurer + manager

Operations and insurance

  1. 01
    Evidence question

    Who pays each utility, and do the bills match the underwriting?

    Evidence to seek
    At least 12 months of invoices, meter arrangement and lease obligations
    Why it matters
    Utility allocation can materially change NOI and resident experience.
  2. 02
    CriticalEvidence question

    Is there a bindable insurance quote for this building and use?

    Evidence to seek
    Written quote with coverage, exclusions, deductible and replacement-cost basis
    Why it matters
    A generic premium estimate does not prove the property can be insured on acceptable terms.
  3. 03
    Evidence question

    Do taxes and recurring operating expenses reconcile to source documents?

    Evidence to seek
    Tax statement, contracts, invoices and bank-supported operating history
    Why it matters
    A seller pro forma may exclude irregular but recurring costs.
  4. 04
    Evidence question

    Is the management workload and cost realistic for four tenancies?

    Evidence to seek
    Management proposal or documented self-management plan and cost allowance
    Why it matters
    Four doors are a small operating business, not passive arithmetic.

Lender + accountant + legal counsel

Financing and exit

  1. 01
    CriticalEvidence question

    Has a lender reviewed this property type, income and ownership structure?

    Evidence to seek
    Written lending assumptions, required documents and conditions
    Why it matters
    Residential four-unit financing can turn on occupancy, leases and borrower profile.
  2. 02
    Evidence question

    Is total cash required clear after closing or completion reserves?

    Evidence to seek
    Sources-and-uses schedule including fees, adjustments, repairs and liquidity buffer
    Why it matters
    Down payment is not the same as total cash to close and operate safely.
  3. 03
    CriticalEvidence question

    Does the deal survive lower rent, higher expenses and a financing miss?

    Evidence to seek
    Downside underwriting in the deal lab using property-specific assumptions
    Why it matters
    A decision needs a range, not one optimistic result.
  4. 04
    Evidence question

    Who is the likely exit buyer, and what evidence will they require?

    Evidence to seek
    Exit scenarios for investor, owner-occupier and developer buyers as applicable
    Why it matters
    Legal clarity, income quality and physical condition shape resale liquidity.

Decision summary

What needs attention before confidence

Concerns flagged

0

No concerns are flagged. That does not mean unanswered items are cleared.

Critical unanswered

10

These questions can materially change legality, financing, insurability, construction feasibility or cash required.

Professional handoff

Take the open questions to the right people.

Send the property, progress and flagged concerns with your request so the next conversation starts with context.

Stress-test the numbers Research the public record

A workflow, not an opinion. This room organizes questions and your own notes. It does not verify a property, replace conditions, interpret law, inspect construction or provide financial advice. Use qualified Calgary legal, planning, lending, insurance, tax and building professionals.