Inheriting Tenants Process

[Jacob Palmer]

Hey everyone! An aspiring rookie investor considering a house hack as my entry into real estate. How does inheriting tenants work? Say I buy an occupied duplex, do I have to honor their current lease? Do I draft a new one and have them sign it?

Thanks!

[Andrew B.]

The prior owner's agreements with the tenants are as legally binding as it would have been with your signature on it. This is why it is important to get an estoppel certificate signed by tenant and seller prior to taking on a inherited tenant. The estoppel certificate outlines any agreements between tenant and landlord. This protects you if the tenant tries to tell you that he prepaid rent for the next 6 months or he had a huge deposit on file.