You finally did it: you decided to buy or sell a tenant-occupied rental property. While this update may be exciting for you, the change can seem scary to the tenants living on the property. So, what can you do to ease their anxieties?
After buying or selling an occupied property, the best action to take is to send a landlord introduction letter. A landlord introduction is a letter landlords write to tenants to introduce the new property owner. In addition to serving as an introduction, this letter outlines the new property manager’s expectations and promotes a good landlord-tenant relationship. To set the stage for a seamless transition, follow our template to write an introduction letter to your tenants.
What to Include in a Landlord Introduction Letter
Though simple, a landlord introduction letter includes pertinent information for tenants. The letter informs tenants of their new landlord, clarifies instructions for further procedures, and details tenants’ options following the end of their lease terms. To draft an informative letter to your tenants, include the:
- Introduction of the new landlord - In this introduction, list the name and contact information of the new property owner. Also, list the date the new landlord will assume responsibility for the property and the tenants. Finally, include instructions for when and why tenants may contact the landlord.
- Protocol for various issues – Include how tenants should notify the landlord of maintenance requests, noise complaints, or other problems.
- Verification of tenant lease details - Each tenant should receive a unique introduction letter. The letter should verify the details of their lease agreement and the rent amount due. It is essential to include this so tenants and the new landlord remain in accord. If the tenant’s information is incorrect, include a section where tenants can update their details for the new landlord's files.
- New instructions for paying rent - Outline how tenants can pay rent. For example, if the new landlord prefers to collect rent through Zelle, PayPal, or Venmo, the letter should specify how tenants can pay online. If the landlord prefers cash or checks, instruct tenants how and where they should send the rent money.
- Property inspection date – New property owners may elect to survey the property. This is their chance to meet tenants and note any repairs needed across rental units. Include a property inspection date in your introduction letter to arrange a meeting between you and your tenants. Inform tenants the new landlord plans to introduce themself and inspect their rental units to note any maintenance needed.
Deliver your letter to each tenant once you finish your draft. To verify when each tenant receives their letter, elect to send the document via certified mail. After confirming receipt, you can begin the new landlordship with peace of mind.
Landlord Introduction Letter Template
You can write a landlord introduction letter as the seller of the rental property or the buyer. The letter allows sellers to say goodbye and introduce the new landlord. The letter enables buyers to introduce themselves and set their expectations going forward. While each viewpoint requires different wording, this template provides a neutral outline both buyers and sellers can use:
[Insert Tenant Name]
[Insert Tenant Address]
[Insert Date]
Dear [insert tenant name],
This notice serves to inform you of an upcoming transition. Beginning [month, day, and year], [new property owner] will assume ownership of this property. [New property owner] will also assume responsibility as your new landlord.
Your current lease information will remain effective until [lease termination date]. Your current lease information is as follows:
[Tenant name] will pay [monthly rent amount] by the [rent due date] of each month. If not received by [monthly due date], a late fee of [late fee amount] will be assigned to your account. The terms of this lease shall remain in effect until [lease expiration date]. Following a thorough inspection, you are eligible to receive a refund for [security deposit amount] at the end of the lease term. Please complete and return the tenant information slip attached to this letter to update any information.
Please send all payments via [method of payment] to [address or online payment information]. If you use automated payments, please contact your financial institution to update the details for your payments.
*Following the end of your lease term, you [may or may not] renew your lease contract.
For maintenance, noise complaints, or other issues, please contact [new property owner name] at [new property owner contact information]. Please grant [number of business days] to allow for request completion.
Finally, [new property owner] would like to inspect the property. During this inspection, [new landlord name] will note areas that require maintenance or repair. Please choose a date and time from the following list to schedule your unit’s inspection.
[Insert list of available dates and times]
[New landlord name] looks forward to serving you with exceptional management, prompt maintenance services, and providing an excellent environment to live.
Sincerely,
[Old landlord name] and [new landlord name]
What to Do if You Want to Vacate the Property
Sometimes, buyers purchase occupied rental properties without the intention of becoming landlords. So, what can they do if they no longer wish to lease the property? If the buyer wishes to vacate the property as soon as possible, they can:
- Wait until the end of the lease term – When a buyer purchases an occupied rental property, they must uphold the terms of the previously-signed lease. Therefore, if tenants hold a month-to-month lease, you must notify them to vacate at least 30 days before your intended date. If tenants have a fixed-term lease, buyers must wait until the end of the lease term to send a lease termination letter. Buyers cannot evict current tenants on a fixed-term lease without violating the contract.
- Renegotiate the lease term – If both parties agree, landlords and tenants can sign to end the lease early.
- Buy tenants out of the lease – Landlords may buy tenants out of the lease with incentives such as offering a rent discount or covering the cost of moving fees. If you would like to buy your tenants out of their lease, communicate to agree on what compensation is appropriate.
- Refer to applicable clauses in the original lease – Some lease agreements permit landlords to legally evict tenants. This provision usually stipulates landlords must move into the property afterward. If you wish to employ this clause, check first with your local laws. If local laws permit, refer to the original lease contract to see if this is an option.
Once you purchase a property, you must uphold the original lease terms. It is unlawful to evict tenants on month-to-month or fixed-term leases before their lease terms end. Depending on your local laws, you must also give notice that you intend to vacate the property. You must send this notice to tenants 30-90 days in advance of their lease end date. However, there are exceptions to this rule. A lease contract may terminate early if the tenant and the landlord sign and agree. If you want to vacate your recently purchased rental property, communicate with your tenants to find the best solution.
Start Fresh with Apartments.com
Whether you choose to extend your renters’ tenancies or list your property to new tenants, Apartments.com can help you every step of the way. Apartments.com makes it easy to screen tenants, get the information you need, and find a qualified renter fast. Unlike our competitors, who use various third-party resources to collect information, we partner with TransUnion to provide you with screening reports for evictions, credit, and criminal history. Another feature you’ll find only on Apartments.com is support for co-signers, guarantors, and co-applicants. If you need more information to make a decision, you can request supporting documents from potential tenants directly on our platform. Get all the information you need to find the right tenant quickly and easily.
Frequently asked questions
How do you introduce yourself to a tenant as a new landlord?
It’s best to respect your tenant’s privacy as a landlord. To avoid visiting unexpectedly, send an introduction letter to the tenant’s rental unit. In this letter, arrange a date and time to introduce yourself to your tenant face-to-face.
What information do I need to give to a new tenant?
You should supply a new tenant with your contact information, procedures for rent payment, and guidelines for filling maintenance requests. Finally, verify the details of their lease agreement and update the information as needed.
