Closing tomorrow - First Investment Property, Texas

[Amanda C.]

So we are getting ready to close tomorrow on our first investment property. Nervous is beyond what I'm feeling. The property currently has a tenant in there.  What do you guys feel the best way to handle this?  We wanted to meet with her and let her know that we are the new owners, have her sign a lease (weekly), explain our expectations of her as a tenant.  Am I missing anything else?  Also, do we need to collect a security deposit from her or leave as is, or is this our call?  The reason for the weekly lease is because the seller has mentioned that he has tried to do monthly leases and in Texas if a tenant does not pay in order to remove them from premises you have to go to court which could end up taking two months, possibly more.  With weekly, you can have the tenant out the next week if they haven't paid, again per seller.  Can you guys weigh in on how you would best handle this?  

[Deanna McCormick]

Amazing,, first download the landlord tenant laws for state of Texas so you know what to do.

What did your purchase agreement include, did the security deposit not transfer over to you that she had with the previous owner..?? It should have. or it should have been a credit toward your closing costs. Or basically your out the security deposit if the tenant had paid one, she wouldn't owe 2..if your agent had failed to include that as part of the closing documents. 

I hope you got a copy of her current lease agreement, you would carry over terms until it ends and then sign a new lease.. so proper notices per that lease agreement is required. 

Give tenant your name and contact info so she knows you get her April Check.

Schedule walk thru with her within the next 2 weeks so you can do a condition of unit check sheet, basically from your date of purchase any damages that would happen from that point on would go against the security deposit , you can't charge her for previous damages,,you bought the buliding as in the condition it was.