Renewal of lease in TX and rent increase?

[Joseph Villasenor]

Hey BP community. I have a tenant that might be interested in renewing their lease. I had a couple of questions in regards to renewing. Do I have them sign an entire new lease? Is there a limit to how much I can increase the rent? I believe the state of TX has a limit but my understanding is that a formal rent increase notice must be submitted and it can’t be more that X% if the increase is to happen durning the original lease timeframe. Does this apply for renewals? In the renewal I want to increase the rent, change the grace period from 5 days to 3 days and obviously the new start and end date of the lease. Any info is appreciated!

[Patrick Pendley]

You do not "need" them to sign a new lease, however we do a new one each time as a best practice, in order to address things like the due date etc. In Texas there is no limit on the rent increase, and you cannot increase the rent during the term of the lease. You are required to give whatever advanced notice is required by your lease, but not less than 30 days before the next rent payment is due. I'm an Investor, Broker, Property manager in Texas.