Month to Month after a year lease...why?

[Chuy Gonzalez]

I was discussing with my PM company about writing new leases for two great tenants this year. The PM company told me they usually go month to month after a year's lease. She said it was easier to raise rents that way. I thought back to the days when I rented, and I remembered that most of my places went month to month after a year. Why is this practice so prevalent?

These two tenants are solid gold, responsible, quiet, pay on time, good job, no drama tenants that I really, really want to keep 

[Meghan McCallum]

So, you are the boss. Tell them that you want to have them sign another one year lease. The PM I am guessing gets a half month's rent or more for filling vacancies...they want turnover. I have all one year leases turn into another one year lease with an auto 5% increase in rent. Its MUCH easier to increase rent that way too :)