Process of revising leases from old landlord to new

[Derrick Fleenor]

Hello BP!

I have my first Multifamily deal under contract which is a total of 22 units. Apparently about 75% of the units are Section 8 and I’d like to get some feedback on how some investors have made revisions to the leases so at closing everything is a smooth transition to begin receiving rent from Section 8, any additional rent from tenants and for units that aren’t section 8. The seller went through a wholesaler so getting information has been a chore. I have copies of leases and tenant names/rent amount but do not have any experience with section 8 housing or purchasing rental units that are already filled with tenants and these units are 100% occupied. I did put an addendum in the contract that the leases would be revised to reflect new owner to receive rent after closing. Any advice on this process would be greatly appreciated!!

[Frank Chin]

Yes, there is a lease assignment form from the seller to the buyer. I dealt mainly in duplexes and triplexes, so the sellers have the form filled out for each unit. You can go on the internet, Google the forms, but it's by area of jurisdiction, by state. I received mine at the closing prepared by the seller's attorney. Then I send tenants notification where and how to send the rent payments.

Here's one such site: Rent assignment form But it's usually prepared by the assignor or his attorney, in other words, the seller.