Inherited Tenants (keep them or release them)

[Quentin Mitchell]

If you inherit a tenant and the rent is below what the market is but they can not afford market rent do you kick them out as soon as their lease is up or immediately if they don't have a lease or do you keep them on as a tenant. To make it a better argument pretend it is a 2-4 unit building so only 1 unit is under market.

In my opinion, it all depends on these factors

1. What type of tenant are they?

2. What kind of shape is the unit in?

3. How long is their lease?

4. How much below market rent are they?

5. How fast do you think it could rent on the open market?

6. How much would it cost to get the unit rent ready?

Those would be my main factors to figure out whether or not to keep them in the unit.

[Nathan Gesner]

I would terminate their lease, clean the unit up, and rent it at market rate.

If you offer it to them, they may insist they can handle the increase but they are more likely to feel bitter towards you and fail to keep up. It just creates problems. Get them out and find someone that can afford it from day one without struggling.