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Landlord Tips for Managing Lease Non-Renewals

A person in a suit signing a document at a desk.A big part of keeping your rental vacancies low is discovering (and retaining) good tenants. But sometimes, things don’t work out between you and your tenant. Maybe your circumstances are changing, or you must do major repairs. In these scenarios, non-renewal is the ideal choice to end your current lease. In this article, we will go over the non-renewal process and some important factors you’ll need to comprehend to handle it properly.

Is Non-Renewal The Same As Eviction?

You need to keep in mind that non-renewal and eviction are two different processes. Eviction is how a landlord can rightfully remove a tenant from a rental property. Typically, this occurs when the tenant breaks a rule in their lease. Legal steps, such as court hearings, are necessary for eviction, and the tenant may be removed by law enforcement.

Non-renewal, however, is not about forcing the tenant to leave. This indicates that the landlord chooses not to extend the lease after the end of the current lease term. But a landlord cannot just wait until the lease ends and then suddenly ask the tenant to move out. Just like eviction, non-renewal should stick to the specific laws in your state. Laws about renting and leases vary by state, so it’s important to research and understand the procedures required to ensure that your non-renewal follows the law.

When and Why to Choose Non-Renewal

The non-renewal process commonly commences with a notice sent to your tenant that their tenancy is not being 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 transmitted varies since each state has different requirements on the timing of non-renewal notices.

In several areas, the notice must be sent 90 days before the lease’s end. In some places, it may only be 30 days. Although you are not required to give a reason for the non-renewal, the notice must typically be delivered in writing and, in certain places, must be transmitted through certified mail or another signature-based service. You’ll need to know what the law in your state requires, so you’ll be aware of all applicable regulations.

Legal Considerations and Fair Housing Compliance

Moreover, it is crucial not to use non-renewal for situations that require an eviction, a reform in lease terms, or to raise the rent. In most areas, leveraging a non-renewal notice to attempt to pressure or force out a tenant is illegal. It could backfire in an expensive lawsuit, specifically when a tenant feels 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 grasping and following the local statute to the letter.

Communicating Non-Renewal Clearly and Professionally

If you have established good communication with your resident (which is important!), it’s critical to continue doing so throughout the non-renewal process. It’s crucial to remain professional even if your unwillingness to renew their lease causes them to feel offended or hurt. You may be able to avoid retaliatory damage or other undesirable actions, and by proving that you care about your tenant, even if you need to break the lease. If all goes well, you may be able to part with your tenant on good terms.

One of the ideal ways to manage a non-renewal situation is to hire an expert. At Real Property Management Steel City, our property managers in Penrose can help you with repairs, ownership status adjustments, or lease modifications. To get further data, please contact us online or call 719-948-8155 today.

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