The ability to maintain reliable tenants is an important one for landlords. If you've done a thorough tenant background check, and it did its job correctly, then at the end of your lease agreements, you'll find that you have a lot of tenants you'll want to keep on.
Reliable and respectful tenants can be difficult to find, so when you have tenants that fit this bill, of course, you'll want to make sure they do remain in your property. The official way to go about this will be through the process of lease renewals. If you're a new landlord, it's possible you've never gone through the lease renewal process before.
If this applies to you, don't worry. This guide will take you through everything you want to know. Read on for all the important things a landlord needs to know about Orlando lease renewals.
Who to Renew?
The first step in the lease renewal process will be choosing which tenants you actually wish to renew. Sometimes, this will be a no-brainer, and at others, it will require a little thought. So, what's the best way to go about making this all-important decision?
First, you should weigh up the cost and benefits with the risk involved. For example, you might have an imperfect tenant in one of your properties, but if the housing market isn't in your favor, it could take you weeks or even months to find someone better.
Turnover cost, having vacant properties, and the effort of searching for new tenants are all things you'll need to think about. On the other hand, if you've got a nightmare tenant, or you want to carry out rental property renovations you'll have no choice but to terminate the lease.
How to Go About a Lease Renewal
Once you've figured out whose leases you do want to go ahead and renew, you can begin the next steps in the process. The first thing you'll need to do is look at the original lease agreement. You want to offer the lease renewal notice to them in plenty of time.
The notice period can be offered as early as ninety days before the current lease expires. This might seem like a long time in advance, but the sooner you confirm these things, the better.
You should send your tenant a lease renewal letter, this way, you've got an official record of all of the correspondence between you. In this letter, you can include the original lease end date, the proposed new length, and the rate you're offering. You should also include the information on the best way to respond to the letter.
If your tenant chooses to accept, then you'll need to draft up a new lease agreement and have them sign it, as you did with the original one. Once you've both signed it, you're all set!
Lease Renewals Made Simple
While this process may sound simple, lease renewals do take time and effort. If you've got multiple properties that are being renewed at different times, it complicates things even more.
Are you an Orlando landlord in need of some administrative assistance? If so, Verandah Properties can help. Give us a call to discuss how we can make your job as a landlord a whole lot easier now.