Switching Month to Month rent to a Yearly Lease

[David Beasley]

How do you switch month to month rent in a multi-family to a yearly lease with new owner, since the recent owner only did month to month. How would you go about telling your tenants you are doing yearly leases. Since the tenants having been doing month to month for the last couple years ? Looking to make the transition just need some input.

[Erik W.]

Amend this notice as needed and mail it at least 30 days in advance of when you want to implement it, or however soon your state laws require.

"Dear Bob Smith, We are so pleased to have you as our resident now that we've taken ownership of 123 Anywhere Ave.  As you know, your former land lord only did month to month leases.  Our company does year leases, and there are several  advantages for you going forward.  First, you have stability knowing that you won't have to move anywhere for at least the next 12 months.  Second, your rent will be locked in at the fair market rate of ($XXX) and cannot increase for the next 12 months.  Finally, it's our job to give outstanding customer service and to make this a successful business relationship.  If you have any questions, let us know and we will be happy to help.  We will stop by on (date) to have you sign a copy of your new year lease.  Congratulations on this new beginning!"  - David, the New Property Manager