@Ashley Shearer let me start with CONGRATS on the offer being accepted. If it was just accepted you likely have a due diligence period to now inspect the property and review any leases. So you seem to be on track. In Louisiana sellers are not obligated to give a buyer leases until a contract is fully executed so again if Pennsylvania, or wherever you are buying is the same, you are still on track.
As for inheriting tenants, I like taking on tenants because it usually means immediate cash flow which my bankers like to see. With that comes inherent risk that I did not personally screen the tenants and they may not be the tenant I would have accepted. But from the beginning (after actually closing) be stern and let the tenants know as the new manager or owner (some like to say they are just a manager) how you plan to handle things, follow the lease, but simply telling them your plans. I issue letters to tenants at the take over of every new property whether it be a purchase for myself or a take over for property management.
As for painting. I've never seen a lease used in my state that allows any painting or improvements to be done without permission. But if the tenant signed the lease chances are he accepted the property AS IS. Might want to ask the seller if they agreed to any painting to be done, if they agreed, get it in writing and get the sellers to handle the arrangements prior to closing. If nothing was agreed you can consider allowing it. I usually ask the tenants to give me a color of choice from a Lowes, Home Depot or Sherwin Williams. Then i can view and approve the color. If it's what I consider to not be a neutral color, I may ask for a paint deposit (yes above and beyond the security deposit). The paint deposit will be the "today cost" to paint that room they are wanting to paint. If they return the walls back to your color they get the paint deposit back, if not then i use it for the walls to be returned to my color.
As for unnecessary repairs, keep in mind this is your property and they are just holding a spot. So in your question about carpet, if they've been in the house a year and the carpet is a year old, they are causing the damage and that's not normal wear and tear. If the carpet is 7 years old and they've been in for a year I would send someone in to do some work if it's needed.
What you need to do versus what you choose to do for a good tenant or new tenant will be determined with time and experience. Somethings NEED to be done, somethings HAVE to be done, somethings you WANT to do to keep a good tenant happy.
Happy Investing 2017
Stephen
