Of course in our regular rental agreements we have an Early Termination Agreement that requires the equivalent of two months' rent. But we need some kind of creative way to get these tenants to renew for a solid year to protect ourselves from a badly-timed move out, but to also somehow reward this couple for being the perfect tenants.... just looking for ideas! --71.246.xxx.xxx

I hear this a lot - and I tell people we just can't do it, all our leases are annual. But I also tell them that if they SHOULD need to leave, we will work with them if they work with us. --50.82.xxx.xxx

You need them to fall in line with your business goals, and if that doesn't work out, now is the best time to find new tenants as the school year is almost over. The accommodation they are requesting benefits them and disadvantages you. If that's going to be the case, at least bump M2M rent 30% or more to compensate you. --107.216.xxx.xxx

And once they buy a house, closing will get pushed back and back as they wait for inspections, surveys, repairs, bank screw-ups. If they DO sign a contract for a house, be prepared to demand a definite move-out date even if they haven't closed, or they can drag you into their drama quickly. --50.82.xxx.xxx

I have to ask - if you only want people to move out in the summer, why do you have an early termination option in your lease? --98.174.xxx.xxx

When I have had perfect tenants I bend over backwards to allow them to get ahead. Either have an early termination clause/fee and make sure they know how it works if they need to terminate early, or simply raise the rent and offer the month to month option. You can’t force them to stay just because it’s better for you. So just protect yourself by getting more money in a month to month arrangement or via an early termination fee and hope the timing works out in your favor. Make sure you have their understanding that they must be cooperative and allow you to show the property once they’ve given notice. If you really want to reward them for being responsible than don’t make things harder for them. --75.89.xxx.xxx

Or you could just tell them no. Renew the same lease or move out. That guarantees that you get your vacancy when you want it, or else you get some extra money for your trouble if they move late in the fall. --76.178.xxx.xxx

Another option is to offer a month to month at a rate high enough to make it worth your bother. --76.178.xxx.xxx

I would think with good schools, people would be willing to move any time. As a former military family ( long ago) we had learned from savvy friends to move our kids BEFORE school ends by at least two months. Then the kids are only ‘the new kids’ for two months, not the whole school year. --172.56.xx.xxx

--47.155.xx.xxx

I have had this situation with timing. What I did was tell them that they could have a month to month lease from May through July (or whatever ending time you want to set). Then, if they have not found a house by then, they will have to sign another one year lease. That way they can seriously look now, but not leave you in a bind with a winter vacancy. --67.184.xxx.xxx

I agree with MTM, but at a modestly higher rate to offset some of your additional risk. Maybe 10% or so. You're taking on some additional risk, and they're paying for some additional flexibility. I've played this gamble a few times, and lost once when someone bought a house at three months, but won several other times when they ended up never moving for reasons others have stated. I would never do that for a new tenant, but for someone who's already been there a couple of years, yes. --100.34.x.xx

I agree with MTM, but at a modestly higher rate to offset some of your additional risk. Maybe 10% or so. You're taking on some additional risk, and they're paying for some additional flexibility. I've played this gamble a few times, and lost once when someone bought a house at three months, but won several other times when they ended up never moving for reasons others have stated. I would never do that for a new tenant, but for someone who's already been there a couple of years, yes. --100.34.x.xx

There are a lot of homes because a lot of people have passed away from covid. They could find something in two months like my tenants did last year. In NJ we legally have to go mtm after a lease ending. --108.24.xx.xx

So we're still discussing all the wisdom in the posts here - and additional thoughts are also welcome. Thanks for the guidance! --71.246.xxx.xxx

I read earlier this week, that in the US there are currently more realtors than houses for sale. --67.43.xxx.xxx

Depending on when the lease is up, if end of May, you could offer a 1 month extension but then they sign on or move. If they actually found something they could negotiate with you for a little additional time and if you agreed you would still be within your ideal rental market. If they sign on again, they have the ELT. If they sign on, you could offer less than a year so they had the option of m to m in next springs housing market. As much as we want to help, it has to fit in our business plan and most people about to buy are usually smart enough to understand and appreciate our rental season constraints when it is explained to them. --75.67.xxx.xxx

Just say YES and go month to month. They soon will tire of getting out bid on their dream home and settle back into being renters. Or maybe they will move on, either way more rent for you and you got the golden egg, let them go and let it be whatever the out come. All good for you. Don't hold them hostage. --172.58.xx.xxx

Offer that they sign the one-year lease, but only have to pay 1 month for Early Termination fee IF they terminate at the end of May, June or July (your better months to rent), with your usual termination notice (for me it's 45 to 60 days notice). --108.4.xxx.x

Great tips. The tenants are now under contract for a house. They might be out by the end of their rental agreement. If not, we can use the advice in these posts... thanks for the help! --71.246.xxx.xxx