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Landlord Tips for Managing Lease Non-Renewals

A person in a suit signing a document at a desk.Getting and keeping good tenants is a huge component of keeping your rental vacancies low. However, there are instances when things don’t work out between you and your tenant. Maybe your circumstances are changing, or you must do major repairs. If this is the situation, one of the most successful ways to end your current lease is non-renewal. Below, we are going to address the non-renewal process and some essential information you’ll need to know to handle it properly.

Is Non-Renewal The Same As Eviction?

It is essential to understand that non-renewal and eviction are two different processes. Eviction is how a landlord can legally remove a tenant from a rental property. This mostly happens when the tenant breaks a rule in their lease. To expel a tenant, legal steps must be taken, such as court hearings, and may require law enforcement to remove a tenant.

Non-renewal, however, is not about forcing the tenant to leave. This signifies the landlord chooses not to extend the lease upon the conclusion of the current lease term. Yet, a landlord cannot just wait until the lease ends and then suddenly ask the tenant to move out. Just like eviction, non-renewal requires compliance with specific laws in your state. Laws about renting and leases vary by state, so it’s imperative to research and understand the steps you must take to make certain your non-renewal follows the law.

When and Why to Choose Non-Renewal

The non-renewal process usually commences with a notice sent to your tenant that their lease will not be renewed. This notice informs your tenant that the lease won’t be renewed at the end of their current term. How far in advance of the lease end this notice should be sent varies since each state has different requirements on the timing of non-renewal notices.

In particular regions, the notice must be sent 90 days before the lease’s end. For some localities, it may only be 30 days. Although you are not compelled to give a reason for the non-renewal, the notice must typically be delivered in writing and, in other places, must be sent through certified mail or another signature-based service. To guarantee that you comply with all applicable regulations, you must know what the law in your state requires.

Legal Considerations and Fair Housing Compliance

It’s also critical not to use non-renewal for situations that require an eviction, an alteration in lease terms, or to raise the rent. In many states, the use of non-renewal notices to try to manipulate or force out a tenant is illegal. It could result in an expensive lawsuit, especially if a tenant claims that they are not given adequate notice or that their lease is being terminated in violation of local law. You can avoid legal headaches by being aware of and following the local statutes to the letter.

Communicating Non-Renewal Clearly and Professionally

If you have established good communication with your resident (which is critical!), you should keep going throughout the non-renewal process. If your tenant is displeased or insulted by your unwillingness to renew their lease, it is advisable to uphold professionalism. By showing you care about your tenant, even if you need to end the lease, you can possibly avoid retaliatory damage or other negative behaviors and, if circumstances permit, part with your tenant on good terms.

One of the effective solutions to manage a non-renewal situation is to hire an expert. At Real Property Management Capital City, our property managers in Round Rock can assist you with modifications to your lease, ownership status, or repairs. For further details, please contact us online or call 512-572-6799 right away.

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