Legacy Tenant- No security Deposit-Advice Setting up a new Lease

[Austin Wang]

I'm taking over managing a property with a legacy tenant of over 20+ years.  Rents have not been raised since they moved-in in 1998.  

There is not a security deposit. Is requiring a security deposit with the new lease when taking over acceptable?

Can anyone confirm rent increase rates in California are now 5% + inflation but not exceeding 10%?

Any recommendations on writing up new lease agreements and doing due diligence before taking over?

Current Plans:

60 Day Notice of change of ownership/landlord

New 1 year Lease agreement

60 Day Notice of rental increase

Cozy.com account set up for payments instead of current personal pick-up of a check and back-dated checks

Appreciate any personal experiences and advice!

Thanks.