One of the key factors in keeping your rental vacancies low is locating and retaining good tenants. However, in some instances, 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 case, non-renewal is one of the successful tactics for ending your current lease. The following post will explore the non-renewal process and some essential things you should be aware of to handle it properly.
Is Non-Renewal The Same As Eviction?
It’s vital to keep in mind that non-renewal and eviction are two different processes. Eviction is how a landlord can legally remove a tenant from a rental property. This often occurs when the tenant breaks a rule in their lease. Eviction involves legal steps, such as court hearings, and can lead to law enforcement expelling the tenant.
Non-renewal, however, is not about forcing the tenant to leave. This means the landlord chooses not to extend the lease after the end of the current lease term. Nonetheless, a landlord cannot just wait until the lease ends and then suddenly ask the tenant to move out. Comparable to eviction, non-renewal needs to adhere to specific laws in your state. Laws about renting and leases vary by state, so it’s a good idea to research and understand the necessary measures to guarantee that your non-renewal follows the law.
When and Why to Choose Non-Renewal
The non-renewal process typically starts 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 places, the notice must be sent 90 days before the lease’s end. For some, it could just be a matter of 30 days. Even though you’re not obliged to give a reason for the non-renewal, the notice must typically be delivered in writing and, in some states, must be sent through certified mail or another signature-based service. It is essential to know what the law in your state requires to ensure compliance with all applicable regulations.
Legal Considerations and Fair Housing Compliance
Furthermore, it is imperative not to use non-renewal for situations that require an eviction, an adjustment in lease terms, or to raise the rent. In several areas, using a non-renewal notice to attempt to control or force out a tenant is illegal. It might cause an expensive lawsuit, mainly if a tenant deems 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 distinguishing and following the local statute to the letter.
Communicating Non-Renewal Clearly and Professionally
If you have established good communication with your resident (and you should!), you have to continue that connection during the non-renewal process. Regardless of your tenant’s feelings of distress or frustration regarding your unwillingness to renew their lease, it’s advisable to demonstrate professionalism. By illustrating you care about your tenant, even if you need things to end, you can possibly avoid retaliatory damage or other unwelcome actions, and if addressed properly, you can part with your tenant on good terms.
One of the ideal strategies for managing a non-renewal situation is to hire an expert. At Real Property Management Peace, our property managers in Summerlin are eager to help you navigate any changes to your lease, ownership status, or upkeeps. For further details, don’t hesitate to contact us online or call 702-848-2509 right away.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.