1. the months rent should be handled in closing. previous owner should credit rent to you, and he will receive rent from tenant. then you give tenants all your contact info after closing, and tell them where to send the next months rent. this should be discussed with your attorney to be sure its done right.2. the old tenants lease transfers to you. you cannot make any changes. you cannot make him sign a new lease, or add fees, or any of that.

The buyer has rightly requested that the tenant's security deposits be transferred.

Then I plan to ask the seller to transfer to me that amount at closing.

Even transferring an interest in a property requires that you be licensed and working under a supervising broker with a signed agreement to allow you to market the property.

I'm glad you got sorted in the end.Bryan, I transferred everything to USAA about two years ago and saved over 50%...that is not a typo.  

If you do it after the fact you have to pay to transfer the title. 

After explaining to the rep that the website said to call if I was using a credit card, I was transferred numerous times and eventually sent to a voicemail!

Money is never really lost, if just gets transfered to people like us. 

Now going through a cash out refinance process, and the lender won't allow me to transfer title into an LLC that I have created for my investment properties (hopefully more than one soon....).  

Make sure that the security deposited are transferred to you as well.