Inheriting tenants on multi-family purchase
Hello all,
I am currently under contract to purchase two duplexes that sit next to each other, total of 4 units. I have made several deals over the years, however all the properties were vacant and I was able to place my own tenants. Currently 3 out of the 4 units are rented and I was wondering how the process is for when I (my LLC) takes ownership of the properties.
Some of the areas of my concern are:
I typically have renters sign 1-2 year leases with the leases going month to month after the term of the lease, how does getting current renters to sign leases work if they already (I'm assuming) have a current lease signed with the current owner?
How do deposits work? Will the current owner give the tenants their deposits back when ownership exchanges hands and then they will give me the deposit after lease is signed? Should I take pictures of the property that day so I have documentation from there on out since I don't really know the condition the property was in when they moved in?
Should I evict the tenants that don't fit my parameters of tenant screening right away? i.e. the monthly rent is more than a 1/3 of their monthly income.
Thank you!