Reaching out to tenants appropriately and properly documenting any communication is very important as a landlord. There are several types of notice letters you should send to your tenant to communicate your expectations and protect yourself from a small claims suit. The lease renewal letter, move-out letter, and the notice to pay or quit are three key letters landlords use.
The Lease Renewal Letter
If you want your tenant to renew their lease, reach out to them about two months before their current lease ends. Similarly, if your tenant decides they will not renew their lease, they should provide a 30-day or 60-day notice of non-renewal, also known as a notice to vacate. Be sure to check your laws since states have different timeframe requirements for notice to vacate letters. You can remind your tenants about the notice to vacate letter about 70-75 days before the end of their lease. This should give them enough time to think everything through and send over a notice to vacate letter within the 60-day timeframe.
The lease renewal letter will help you determine your tenant’s plans and communicate what they need to do if they want to continue living in the rental. You should also include that you are raising the rent if you decide to do so.
Example of a lease renewal letter:
[Date]
Dear [name of resident],
It’s almost time to renew your lease. I appreciate you as a tenant and want to continue having you as a resident. Thank you so much for paying your rent on time every month and taking such great care of the property.
As you can imagine, over the last year my expenses on the property have increased. I am covering most of the expenses since I enjoy having you as a resident, and the good news is that your rent is only slightly increasing. I want to make the payments as low as possible, and the rent is only increasing [amount of increase] a month. Your new monthly rent amount will be [new rent amount], effective [date].
I have included a new lease for the upcoming year. If this lease is satisfactory, please sign it and send it back to me. This is the same lease you signed last year. Nothing has changed except [list any changes].
If you do not wish to renew your lease, please let me know as soon as possible and send over your notice to vacate.
If you have any questions about this, please feel free to give me a call. I look forward to your continued tenancy.
Sincerely,
[Your name]
You don’t have to increase the rent. If you don’t want to raise the rent, simply change the section to reflect the rent will remain the same for the new lease.
The Move-Out Letter
As a landlord, allowing pets, handling maintenance issues swiftly, and being responsive are just a few methods you can use to reduce tenant turnover. But even with the best resident retention tactics, your tenants will eventually move out. Along with using a landlord-tenant checklist, sending a move-out letter will help ensure the move-out process runs smoothly for you and your tenant.
If your tenant isn’t renewing, send a move-out letter a month before the lease ends. The letter should include instructions and expectations for moving out. The following example mentions hypothetical lease requirements. Be sure your letter's requirements match what is written in your lease.
Example of a move-out letter:
[Date]
Dear [name of resident],
Thank you for renting my [insert type of property, e.g. an apartment or a house] these past [length of time].
This letter is a reminder that you will need to remove all of your possessions by [end-of-lease date]. If you move out before then, please let me know. If you abandon personal property or garbage on the premises, you may be held responsible for the cost of removal of those materials.
Your lease requires that you leave your unit in a clean, undamaged condition. I intend to return your security deposit in full as long as you have fulfilled your agreement.
Specifically, please do the following:
- Remove all food, debris, and other personal belongings
- Clean (and defrost if necessary) refrigerator
- Clean stove, oven, and any other appliances
- Replace any burned-out light bulbs
- Clean all floors and vacuum carpeting
- Report any damage in writing
- [include any other expectations]
Upon leaving, please be sure to fully secure the rental by locking all windows and doors. The designated place to leave all keys is [state where you want these left]. Please lock the door when leaving.
After you have vacated the rental, it will be inspected and photographed for compliance with your lease. The expense of cleaning beyond normal wear and tear or repairing damage, if any, will be deducted from your security deposit. You will be notified of any charges. Please leave a forwarding address so your security deposit can be returned to you.
It was a pleasure to have you as a resident. I wish you the best in your new home.
Sincerely,
[Your name]
Notice to Pay Rent or Quit
Unfortunately, you might run into a situation where a current tenant has missed one or several rent payments. Send them a letter asking them to pay the rent as soon as possible or move out. A notice to pay or quit letter can be sent at any time when a tenant gets behind on their rent. Although the laws vary by state, a tenant will usually have three days to pay the outstanding rent, move out, or face eviction.
The following letter is only an example of a notice to pay or quit letter and shouldn’t be considered legal advice. Similar to other notices, it’s recommended to get a lawyer to review these types of letters for accuracy.
Example of a notice to pay rent or quit letter:
[Date]
[Tenant’s name]
Please take notice that the rent is past due at [address of the rental property], which you currently hold and occupy. Your rental account is delinquent in the amount itemized as follows:
Rental period: [list the month(s) you haven’t received rent]
Total late fees due: [list the amount]
Total rent due: [list the amount]
Pursuant to the written lease beginning [lease start date], and terminating on [lease end date], you are hereby required to pay said rent on said premises, or you are hereby required to deliver up possession of the premises within three (3) days after service of this notice to the undersigned, or the undersigned will institute legal proceedings against you to declare a forfeiture of the lease under which you occupy said premises and to recover possession thereof, including rents and damages.
The undersigned does elect to terminate the lease if the rent is not paid within three (3) days.
The premises referred to are commonly known as:
[Property address]
[Your name, address, phone number, and email]
[Your signature]
Although having a tenant with months of unpaid rent can be frustrating or inconvenient, the eviction process is lengthy and costly. Many landlords will offer cash for keys before going through with eviction. If you decide to use cash for keys, you can include that in the letter. Specify the amount of cash you intend to give them and set a date for when you’d like them to move out.
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Being transparent and communicating expectations with tenants makes all the difference. Sending proper written notice will help you know when to expect a vacancy and make turning over the rental property a bit easier. Since your tenants will know what to expect while moving out, they’ll be less likely to leave behind personal property or garbage. The notice to pay or quit letter provides tenants an alternative before resulting to eviction. Remember to send your letters within the appropriate timeframe and moving out should run more smoothly.
