A well-structured lease renewal letter not only helps keep reliable tenants but also avoids the hassle and cost of finding new tenants. In this article, we’ll walk you through how to write a lease renewal letter and provide a free lease renewal letter template to simplify the process.
What is a Lease Renewal Letter?
A lease renewal letter is a formal document offering a tenant the option to renew their lease agreement. It usually outlines the lease end date, lease renewal date and when a tenant needs to let you know if they want to renew the lease agreement or terminate the lease.
If a tenant wants to renew their lease, they will sign this letter, and you'll send an updated lease agreement reflecting the new lease period, including rent changes, lease term adjustments, and any other modifications to the original lease agreement.
How to Write a Lease Renewal Letter
When drafting a lease renewal letter, it’s important to be clear and concise. Here’s what to include:
- Tenant’s name
- Rental property address
- Lease expiration date
- Lease renewal date
- New lease term (if switching to a month-to-month lease)
- Response deadline (usually 30 days before the lease end date)
- Contact information for lease renewal
Download our free sample lease renewal letter template for a quick and easy way to fill out these details and send it.
When to Send a Lease Renewal Letter
Generally, you'll want to send a notice of renewal 90 days before your lease expires. Give your tenant 30 days to respond if they want to move forward with renewing the else or not. If they don't renew, this gives you 60 days to find new tenants.
Make sure you check local landlord-tenant laws before sending a lease renewal letter. Some states have specific rules about when to send a renewal of lease letter to tenants.
Manage Leases and Rent Collection With Baselane
A lease renewal letter is the best way to keep your units filled with reliable tenants. To make the process even easier, you can manage lease agreements and rent collection all online with Baselane, one of the best lease management software solutions for independent landlords.
Create state-specific leases for e-signing, collect rent and security deposits and even open separate banking accounts (required in some states) to hold and easily return deposits.
Watch our demo to learn more or sign up for a free Baselane account today.
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