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Updated over 2 years ago,
Inheriting a tenant paying under market value
I'm in contract for my first rental property in the Buffalo area and will be inheriting a tenant who is currently paying way under market value. Property is a side by side duplex (each unit is 900sq ft, 2bdrm/ 1ba) One unit is vacant and I plan to use it as a LTR, while the other unit is occupied by a tenant who is paying way below market value at $645/month and I would ideally be getting around $1200/month. I was told by my realtor that the tenant should not be surprised by a significant rent increase given the comps in the area are roughly double what he is currently paying. Per New York State guidelines, I will need to give a 90 day notice for rent increase, but beyond this I'm seeking any advice on best practice for broaching the topic with the tenant as a landlord. Thank you in advance for any insight!