Bought a 2 Family - Rent Question

[Mike Bears]

I just purchased my first investment property. It is a 2 family with both units currently occupied with 2+ year tenants. I plan on raising the rent when the current lease is up (they are currently month to month). What is the best way to approach my new tenants about this while also introducing myself? Thank you!

[Nathan Gesner]

A very short, business-like letter that introduces you as the new owner, how and when they should contact you, and how they should pay rent. Let them know the current lease remains in effect but can change with 30 days notice. I also recommend you include a simple form and request updated contact information in case something has changed. Set a deadline of when you expect it back.

If you plan to screen them, start with that. If you plan to keep them without screening but intend to raise the rent, you should at least ask for updated proof of income to ensure the rent is affordable at the new rate. 

When you offer them the new lease, be sure to set a deadline for them to review, sign, and return. Include a consequence for failure to comply, such as termination, automatic month-to-month extension at a higher rate, etc.