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Updated over 8 years ago on . Most recent reply

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71
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Chris Bingham
  • Investor
  • Sandy, UT
29
Votes |
71
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Renewal notice offering less rent than they are already paying?

Chris Bingham
  • Investor
  • Sandy, UT
Posted

When a tenants lease is set to expire and you send them a notice of their options (I've seen many posts where 3 options are offered) do you ever offer an option that would allow them to pay less rent than they are currently paying. I advertise my rentals based on the price of a 1 year lease. However, I also offer 6 month and month to month if that better suits the prospective tenant (each at higher rates than the 1 yr lease). For example, my 6 month lease is $20 more than the 1 year lease. NOW, after 6 months and the renewal is up....I am looking at offering a 1 yr, 6 month, and month to month options for renewal...each with increased rent. However, the 1 yr lease would be less rent than their current 6 month lease is. Would you ever issue a lease renewal notice that offers the tenant the option to renew for less rent than they are already paying? Why or why not? 

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Why do you believe a tenant on a 15 month lease will stay 15 months. My experience shows that tenants leave when they choose with little regard for the lease. If you read a large number of posts on here many are in regards to tenants breaking their lease.

My tenants on M2M never break their lease and always give me plenty of notice when thinking of moving, rarely less than 3 months. Tenants on a term rarely if ever give more notice than the minimum required and when breaking a lease usually no notice.

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