Renew Leases Or Month-to-Month
I have multiple units on section 8 and some non-section 8. After the original lease expires, some landlords told me to increase the rent and just go month to month. Others told me to get the tenants in a lease to secure income.
It is quite a management intensive task of knowing when leases expire and renewing them.
I would love to know what others do out there!!
Thanks in advance.
Depends upon the standard practice in your area. Section 8 is always an annual lease, and renewed annually. In my market area, annual leases with annual renewals are the standard.
When I had property in Ohio, the standard for that area was annual lease, then month to month thereafter. I had one tenant stay in my property for four years in month to month status. That tenant eventually bought the property from me.
Bingo!!
My experience also.
Jim
Hmmmm--- I have been asked for copies of leases Too Many times.
Yes, tenants break leases. Mostly they use them as tracks to run on. Me too. I almost always renew them for 12 mos. now. Too many winter vacancies in the past. == Here is what I do now in all the time in my leases.
16. Holdover by Lessee; Should Lessee remain in possession of the demised premises with the consent of Lessor after the natural expiration of this lease, a new month-to-month tenancy at the new rental rate of $1370.00 shall be created between Lessor and Lessee which shall be subject to all the terms and conditions hereof but shall be terminated on 30 days written notice served by either Lessor or Lessee on the other party. A new 12 month lease may be entered into per request by Lessee before 8/01/08 at the rate of $1300.00 per month. ___ ___ ___
So, they know what the new rent will be based on them way back when they sign the lease last year. I always make the mo/mo amount 10% higher. This has been working well for me w/renewals and ease of preparing the new lease. I email, they sign and mail back. UNLESS I want to inspect and say hello personally.
do you have a mortgage on the property?
Did you just "trigger" the due on sale clause?
I would suggest doing a full warranty deed transfer to the LLC. The only reason I mention this is if you purchased title insurance when you purchased the property, the Quit Claim would invalidate it.
A way to get around this is open a LLC in in your www.name.ie: joe and marry Smith, LLC. and put on title. If anyone sees the name change they will likely see it as a error in the computer(the LLC), but the name matches up.(Can be used especially if used in a sub-2 deal) [ Edited by whitebb on Date 08/17/2007 ]