Congratulations! You just purchased a new investment property.
And it even comes with rent paying tenants, so you can start collecting rental income right away!
If you are self-managing your new property, it is a good idea to introduce yourself as the new owner/landlord. Not only is this a friendly step to take with your new tenants, it will also be necessary to inform them to whom and where they need to start sending their rental check.
A new landlord introduction letter is an excellent way to introduce yourself to your new tenants and make the transition process smooth for them.
You should reach out to your new tenants to:
- Introduce yourself
- Collect tenant contact information
- Tell them where and to whom the rent check needs to be delivered
- Share your contact information
- Tell them how to submit maintenance requests
You should also reassure your tenants that their current lease agreement will be upheld.
A new landlord introduction should include a Tenant Update Form for your tenants to return to you. This will include names of occupants and contact information. It may also ask for relevant information regarding vehicles, pets, employment information, and emergency contact details. Here is a sample of a Tenant Update Information Form from ezLandlord Forms.
You may also consider coordinating a property inspection with your new tenants. This will be a great opportunity to meet your new renters in-person and address any maintenance concerns right away.
If you purchased a property that is under property management and plan to keep the same management company they should be able to direct you on the best way to introduce yourself (if at all).
Here’s a sample letter to send your new tenants to introduce yourself as their new landlord.
Sample Landlord Introduction Letter
22 Apple Drive
Greypeaks, TA 97555
16 November 2016
51 Acorn Ln
Greypeaks, TA 97555
Dear Mr. French:
I would like to take the time to introduce myself as the new Landlord of [enter address]. Your current Lease and payment terms will remain in effect. However, all payments, maintenance requests and correspondence need to be sent to the address listed at the top of this letter.
If you currently use an automatic draft, cash deposits or electronic payment for your lease payment, please contact your financial institution immediately and take the necessary steps to transfer the automated payments.
I have included a Tenant Information Form for you to fill out. Please complete this form and return it me at your earliest convenience. It is important that we have all your important information updated for our files.
We would like to inspect and address some minor concerns noted in the inspection. Once we’ve received your Tenant Information Form, we will contact you to coordinate an inspeciton time.
I look forward to providing you with exceptional management, including prompt maintenance service, as well as maintaining a safe and enjoyable place to live.
Check with your state laws to see if there are any official or legal steps you need to take to inform the current tenant about the transfer of ownership.
Remember that if your tenants are on a fixed-term lease, you have to honor the conditions of the lease the original landlord/owner made. If the tenants are on a month-to-month lease, you may consider having your new tenants sign a new lease with you after proper notice has been given.
What if I do not want the current tenants to keep living at the property?
If you want to terminate the current lease agreement there are a couple of steps you need to take depending on the type of lease agreement.
The renters at the property are entitled to live at your new house throughout the length of the lease agreement they originally signed. You must agree to take over the lease when you purchase a rental property with renters on a fixed term lease.
Once you have assumed ownership, you may discuss options with your new tenants to arrive upon a mutual agreement to end the lease early. Any lease can be legally terminated before its end date if both parties agree. Landlords may be successful in reaching agreement about an early lease termination if they offer incentives like covering the cost of moving expenses or offering a rent discount.
If your tenants are on a month-to-month lease, they have fewer protections for staying at the property after a sale. If you want your new tenants to move, you simply need to provide your tenants with written notice about the end date of their tenancy. Depending on your state or city, you are required to notify your tenants before they must move, typically 30-90 days in advance.
It is extremely important to check with your local laws, as some cities are starting to enact ‘no cause evictions’ or ‘no cause terminations’ protections for tenants. Similarly, if your new property is under rent control, you may not be able to ask the tenants to vacate. This will be an important consideration if you are purchasing a rental property and you know you will want the current tenants to move out.
Learn more about The Legal Eviction Process here