month to month vs renew for another 12

[Matt F.]

Newbie question here – I have tenants whose 12 month lease will be up this spring. My property manager recommended going month to month after this least is up, which took me by surprise. My thought would be wouldn’t we rather know its rented for another 12 instead of the tenants deciding mid way through next year they want to move out? These tenants have been good and I’d ideally like to keep them around as long as possible.

Am I missing some logic here that says month to month would actually be better?

[Dawn Brenengen]

@Matt F. Your lease probably already addresses the subsequent terms after the first term expires.  I actually agree with your PM.  I used to ask tenants to commit for a year at a time, but I found I actually have less turnover when I don't force tenants to reevaluate their living situations each year.  Going month to month allows them flexibility, and out of inertia, they typically stay longer.  If I bring it up each year, they look for alternatives and then decide if this is something they can commit to for a full year.