nervous about first rental!

[Account Closed]

Ok here is the situation I close on my first house ever on Thursday and I am nervous as to how to handle this situation. I have a tenant upstairs who has been there for 4 years and is on a month to month lease, so basically I would have to meet him after I close and have him sign my lease and do a walkthrough and take pictures. I know he has paid and seems like a good guy I am just nervous as to how to do this whole process and do I just go into his unit and introduce myself. Then I would explain my lease should I run it month to month,? His rent is low as it is 625 a month but should be 675- possibly 700. How would I go in and say that and his deposit is also really low at 250$. thanks guys just nervous about this whole experience. Also the bottom unit needs to be rented right away. What would be my best bet ? it needs to be re-painted, and the bathroom needs tile. Also the wires are hanging from the bathroom and it would need a new electric fixture, as well as the polarity reversed. The issue is having the time to paint a house will take a couple of days, and that is all rental loss.

[Michael Rossi]

I would introduce yourself to the tenant and have him sign your month-to-month lease. I would not raise the rent immediately or ask for more security deposit. When a new owner takes over a (small) building, there is a huge risk that the tenants will leave if you immediately make changes. If you've got a good tenant, don't rock the boat for a few months, unless the rental market is hot and you know that you can get another tenant if this one leaves.