Newbie Landlord-How to Deliver a Rental Rate Increase

[Jason Willis]

Hello everyone my name is Jason Willis and I am in the process of closing on my 1st property. It is a single family home in a great town here in Southeast Texas and I am looking for an answer on how to inform the renter of increase in the rent when I close. The current renters are wanting to stay in the property, they have been there for 2 years but the previous owner bought the house with cash and did not have the expenses I will have and had the rent WAY below the market for that area. They had no lease agreement at all. They have been given the notice that a new owner is in the closing process and will be requiring a lease agreement and will be making a few changes. Would someone happen to have some insight on how to handle this situation? Thanks!