Inherited Tenants - How to Introduce Yourself

[Ivan Cortez]

I have entered into a contract to purchase my initial duplex and anticipate acquiring two tenants who have occupied the property for a significant period of time. Currently, both tenants are on month-to-month leases, and the closing date for the purchase is scheduled for the 14th of the month. As the new landlords, what would be the appropriate protocol to follow with the tenants? Specifically, what are the recommended steps for introducing ourselves, and how should we proceed with regards to transitioning the tenants onto our month-to-month lease? Moreover, when should we provide the new lease for their signatures and when would it be appropriate to expect them to return it to us? Finally, is it customary to conduct all of these steps in person, or is it acceptable to transmit the documentation by mail and request a timely return?

[Richard F.]

Aloha,

Ideally you instruct the current LL/PM to send/post notification of change and introduction with your basic contact info and anticipated effective date. You follow up immediately after closing with additional letter and further info such as where rent is to be sent, and how to request maintenance. You also should request the tenants to contact you within 7 days to schedule a brief walk through inspection and meeting with them. (If they "test" you by failing to contact you, post a notice that you will be inspecting at Date/Time as allowable by local law) At that meeting, and after you have inspected their unit; and asked if there are any uncompleted or unreported repairs; and confirmed with them the current rent, term, security deposit (which should be transferred to you at closing), ownership of appliances, parking location, who is doing yard service, who is paying which utilities, and anything else that may be applicable, THEN you inform them you will be terminating their current agreement with X days notice per local law. If they wish to remain, they will need to complete and return YOUR rental application with proper supporting documentation for income, savings, or trust fund. If approved, they will be able to sign YOUR new Rental Agreement under your terms.