Try to renew expiring lease or let it go month-to-month?

[Whitney Breedlove]

My tenant's lease will be up at the end of the summer and I'm debating if I should give them 30 day notice to sign a new lease term, extending the lease another year or two, or allow the lease to enter the month-to-month auto renewals? I have really good tenants and I don't want to lose them which I'm afraid may happen if I ask them to commit to another year or two but I also prefer my leases to begin in the summer when more people are moving. In the past, I've always received more interest in the property than I can even process when it's up for lease so vacancy has been close to 0% but it's always been on the market with an August move in date. I'm wondering how much of an impact there will be if I let them stay a few extra months, and then I'm potentially stuck with listing it in the winter or some other inconvenient time?

[Richard F.]

Aloha,

When you schedule a meeting with them for your walk-through annual inspection, after you have completed the inspection, spend a few minutes to inquire about their intentions/desires/target dates. Do not tip your hand, this is a time to gather info. Let them know you will be studying the market after the inspection to help you decide what you will be offering. Once you have looked at the current local market; evaluated the condition of yours vs. available units; satisfied yourself they are taking good care of the property; and know their intentions, make a fair offer that works for both of you...but mostly you.