Change of management and inspection and lease questions

[Jennifer Jones]

We have a rental property that currently has tenants until next year. It was property managed for the past year by the property management company, but we recently took over to manage it ourselves. The property managers claim their information about the move in inspection and condition of the home with the current tenants was "lost". They never told us this before we asked to take over managing the property so we're wondering if they are trying to drop all liability in our lap. How does this affect us for the future when the tenants move out and we assess damages? The house was in good condition when they moved in. We know this because the management went in and fixed alot of damage done by the tenants prior to the current ones (which we have receipts and proof of). Our concern is that these tenants have pets and a steep deposit. We did approve the pets, but the management was the one who knew the move in condition of the place. Also, do we have to have the current tenants resign a new lease or are we covered under the current property management lease? This is in CA. Thanks for any advice.

[Ralph Hunter]

First, as the property owner, your name should be on the lease, not the property management company. They may be mentioned as where to send the rent or who to contact in case of an emergency, but as the property owner, you should be the lessor.

As to the move-in inspection, I would kindly send a letter to the tenants informing them that you will be handling the management from now on. Provide them a contact phone number, email address or other way to contact you in case there are problems, repairs or questions. Supply them the address where they will need to send the rent or a bank account where it should be deposited.

In the same letter, inform the tenants that you would like to schedule a time to do an inspection of the property with the tenants. They will have the opportunity to point out any problems that need to be addressed. This is an easy way to get a new inspection without letting the tenants now how the PM agency dropped the ball.