Newbie Purchasing Tenant Occupied SFH

[Sid Montero]

>Do I get the deposit the tenants gave the present owner at my closing or do I have to request a new deposit?

> I plan on raising the rent by $100. Even that is under market value.  Do I let them know now before closing (seller giving me the phone number) or do wait a couple of months then raise it?

[Alex S.]

The deposit can be deposited in the escrow account by a present owner for you to receive upon closing. Even if the market rent is higher then the actual rent at this moment i would not raise the rent by $100. Are the current tenants on month to month or on a 12 month lease? You can raise the rent gradually. if they are on the month to month you will have to give them 30 day notice if they are on the 12 month lease you can renew the lease and raise the amount by desired amount. but you are risking of loosing your tenants if they decide to leave. You need to look at their current lease to make this judgement.