Getting and keeping good tenants is a big part of keeping your rental vacancies low. But sometimes, 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, one of the best ways to end your current lease is non-renewal. This article will talk about the non-renewal process and some critical things you’ll need to know to handle it properly.
Is Non-Renewal The Same As Eviction?
It’s crucial to know that non-renewal and eviction are two different processes. Eviction is how a landlord can legally remove a tenant from a rental property. This usually takes place when the tenant breaks a rule in their lease. To evict a tenant, legal steps must be taken, including court hearings, and the tenant may have to be removed by law enforcement.
Non-renewal, however, is not about forcing the tenant to leave. This means the landlord chooses not to extend the lease after the current lease term ends. Yet, a landlord cannot just wait until the lease ends and then suddenly ask the tenant to move out. Just like eviction, non-renewal must follow specific laws in your state. Laws about renting and leases vary by state, so it’s crucial to research and understand what you need to do to make sure your non-renewal follows the law.
When and Why to Choose Non-Renewal
The non-renewal process usually begins with a notice sent to your tenant that their lease 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 sent varies since each state has different requirements on the timing of non-renewal notices.
In some places, the notice must be sent 90 days before the lease’s end. For some areas, it may only be 30 days. Even though you are not obligated to give a reason for the non-renewal, the notice must typically be delivered in writing and, in other areas, must be sent through certified mail or another signature-based service. To make sure you comply with all applicable regulations, you need to know what the law in your state requires.
Legal Considerations and Fair Housing Compliance
It’s also important not to use non-renewal for situations that require an eviction, an amendment in lease terms, or to raise the rent. In most places, using a non-renewal notice to try to manipulate or force out a tenant is illegal. It could cause an expensive lawsuit, particularly 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 recognizing 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 a must!), you should keep it up during the non-renewal process. In the event that your renter is upset or offended by your unwillingness to renew their lease, it’s a good idea to maintain professionalism. By showing you care about your tenant, even if you need to end the lease, you can potentially avoid retaliatory damage or other bad behaviors and, if things go well, part with your tenant on good terms.
One of the best methods to manage a non-renewal situation is to hire an expert. At Real Property Management Faith, our property managers in Noblesville can help you make changes to your lease and your ownership status, or make fixes. To know more, please contact us online or call 317-219-4363 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.