How to properly transition old tenants to new landlord??

Question

Brandon Sturgill · Answer

Account Closed Consider the leverage you have with the options of staying month to month, or moving to a long-term lease. For lower socio-economic tenants/buildings, month-to-month may give you more control over removal of tenants if need be. If they are great tenants that have a history of paying on time every month, a 1 or 2-year lease may be a good option. Nevertheless, you can start a new lease once you decide to not renew the existing lease. Good luck.

Peter MacKercher · Answer

Account Closed Leases aren't affected by the sale of a property so you inherit everything (lease, addenda, etc) the tenant has signed with the previous owner/manager. There's no difference between a MTM lease, a year lease or a 20 year lease except the term (and probably the renewal/non-renewal notice requirements) in this regard.

Thomas S. · Answer

M2M is a landlords best friend. Good tenants have no problem signing a M2M as the conditions and other details are the same as a term lease. They do not fear being evicted so the length does not matter. Bad tenants prefer the longest lease possible as it gives them almost full control of the property till the lease is up. Tenants that know they will have issues with a landlord will not sign a M2Ms they know they will not be renewed and will have to follow all the rules ... like paying rent in full and on time.

Jennifer A. · Answer

Sounds like you are on the right track. I took over a duplex recently and had to move the tenants to my own month-to-month lease with my rules. I did exactly what you are doing. I gave them about 60 days notice of a rent increase in case they wanted to leave prior to the rent increase. I also let them continue for 60 days before signing my new lease.

As for kicking someone out because you have to live there according to your mortgage, I wouldn't worry about that. You'll just have to give the appropriate notices to vacate. If you want, you can even say in the letter that you are required per the conditions of your mortgage to live there. That might ease the blow to the tenant and let them know that it isn't that they've done something wrong. That's your call if you share that information though.

Michael Totman · Answer

Congrats! I went through this situation last year and so far it has been smooth. I met with both tenants to explain who I was and that it would be my rules from now on. They were month to month so I gave them notice that at the next period they were going to need to sign my lease and their previous lease would no longer be in effect. They also had the option to move out if they wanted, but if they chose to stay it would be by my rules. I gave them an opportunity to review my lease and they had no problem. To be fair I agreed to keep their rent the same. At this point I treated them like a new tenant, documenting the current condition of the unit when they signed the lease for security deposit purposes, and we went over all the rules. I did change a few things as far as property rules go, and I removed the trash dumpster that sat in the driveway and move the building onto the town curbside collection route for which tenants are responsible for the cost of town trash bags. This month I'm in the process of providing rent increase notices as we've continued to make improvements to the property so this may change things drastically, but we'll see...

Kicking out one tenant so you can live there while letting the others stay will make you look like a mean landlord, so good luck. As for how to do it, just don't renew his lease or give the proper notice by the current lease that he will not be renewed in the next rental period. Consider it carefully though, sounds like you could have some good cash flow.

How to properly transition old tenants to new landlord??

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