I never had any luck trying to get tenants to renew for another year until I added this clause to my leases. Now tenants stay 2-3 years or more without being forced to commit for another year.
My one year leases always revert automatically to month to month tenancy with all terms and conditions the same as in the original lease. I never put in an automatic increase and decide later if it is warranted if below other rents.
All one paragraph lease follows but separated here for easy reading.
21. HOLDOVER. If tenant continues to occupy the premises with our applied consent after the year’s lease ends, this lease will continue on a month to month basis. All terms of this lease still apply.
Landlord reserves the right to increase the rent during the month-to-month term by either regular mail notification or hand delivered written notice to tenant at least 30 days in advance.
Note: A 30-day (full month 1st to 30th) written notice is required to terminate and/or to vacate the premises by either tenant or landlord. Full payment of rent is due for the last month and shall not be pro-rated. Tenants cannot apply the security deposit towards the last or any rent payment.
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