Tenants Lease Is Up And Landlord Doesn’t Want To Renew
Question
For the first time since I bought my duplex, the lease term for one of my tenants is nearing the end and wonder if I need to serve the tenant with a notice if I do not want to extend or renew his lease.
Answer
What you need to do to terminate the lease depends on the clauses in your lease agreement and, in a few states it may depend on the law. It can be of benefit that the lease agreement explicitly discusses end-of-lease issues. For example, the agreement may state that the tenant is expected to vacate the unit if an extension or renewal agreement has not been executed by the parties at least some number of days (it should be at least 30) before the ending of the existing lease term.
As another example, the agreement may state that the lease becomes a month-to-month lease if no action has been taken regarding an extension or renewal, the landlord has not given notice of termination, and the tenant holds over beyond the term end. It is usually desirable to include the amount of the rent increase that becomes effective at the end of the current lease’s term when it has not been otherwise determined in advance of the term ending date.
It never hurts to provide a termination notice prior to term end no matter what the lease requires when the landlord desires to have the tenant depart. If you don’t want to extend or renew the lease, the tenant can be so notified. Usually, no reason need be given and it is best to not give a reason that can in any way be considered a violation of fair housing laws. Such a notice can be given at any time prior to term end unless otherwise required by the lease agreement or law, but it should be long enough in advance for the tenant to make plans for moving.