A multifamily due diligence checklist should verify the income, the building, the legal position, and the market before the contingency period expires.
Financial review
Reconcile the rent roll, leases, bank deposits, T12, general ledger, aged receivables, security deposits, concessions, bad debt, utility reimbursements, and vendor contracts. Recalculate NOI rather than accepting the offering memorandum.
Physical review
Inspect roofs, foundations, drainage, plumbing supply and sewer lines, electrical panels, HVAC, windows, parking, life-safety systems, unit interiors, and deferred maintenance. Price immediate and recurring capital separately.
Legal and regulatory review
Confirm title, survey, zoning, certificates of occupancy, licenses, code violations, service contracts, tenant notices, fair-housing procedures, and any local rent or relocation rules.
Market and financing review
Compare achieved rents—not asking rents—against competitors. Track vacancy, concessions, deliveries, construction, absorption, and available land. Confirm loan terms, reserves, insurance, taxes, and DSCR before removing contingencies.
Insurance and tax resets deserve their own workstreams; see multifamily insurance underwriting and property-tax reassessment.
Draymoor Ventures looks for durable real estate where current operations support the basis and growth remains upside. Share an opportunity: Steven@DraymoorVentures.com.