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ContinueLandlords should give adequate notice of renewal or non-renewal of lease stating whether or not they intend to renew the lease agreement.
Lease renewal and non-renewal letters serve as formal tools stating the intentions of the parties involved as a fixed-term lease comes to an end.
Providing a lease renewal letter can be a simple way to encourage a good tenant to stay, reducing lengthy and often expensive rental listing, application, and screening processes. However, sending a non-renewal of lease letter can sometimes be the better option, allowing tenants to find new accommodation, and landlords to find new tenants.
Whether you choose to renew or not renew the lease, you must give your tenant an appropriate written notice (with a notice period in compliance with local and state law) which clearly states your intentions and any changes to the lease terms such as rent increases.
In this article we take a closer look at the purpose of these letters, why they are essential, and provide free templates for both lease renewal and lease non-renewal letters.
Lease renewal and non-renewal letters are essential tools for clear communication and proper documentation between landlords and tenants. They help establish expectations, prevent misunderstandings, and ensure legal compliance as many jurisdictions mandate written notice of intent to renew or not renew a lease within a specific timeframe. These letters clarify terms and provide transparency.
Lease renewal letters outline the conditions of the extended lease, including changes to rent, lease duration, or other updates, ensuring both parties are on the same page.
Non-renewal letters formally communicate the decision not to renew, giving adequate notice and allowing both parties time to make alternative arrangements.
For landlords, they provide the necessary time to find new tenants, prepare the property for turnover, or negotiate lease terms. For tenants, they offer a clear timeline to secure new housing, negotiate conditions, or finalize moving plans.
This written documentation can also be crucial if disputes arise regarding notice periods, lease terms, or property conditions and ultimately by using a formal lease-renewal or on-renewal letter the parties involved demonstrate professionalism, fostering positive relationships and smoother lease transitions.
A lease renewal letter is a formal document sent by either a landlord or tenant to express interest in extending the lease agreement for another term. This letter initiates the process of renewing the lease and typically includes important details such as the proposed duration of the new lease, any updated terms or conditions, and adjustments to the rent amount, if applicable.
For landlords, a lease renewal letter serves as an opportunity to maintain a stable rental arrangement while updating lease terms to reflect current market conditions or changes in property policies. For tenants, it’s a way to secure continued housing and confirm their willingness to abide by the lease’s updated terms.
Lease renewal letters are often sent well in advance of the lease’s expiration—usually 30 to 90 days—giving both parties time to negotiate terms, sign the renewal agreement, or make alternative arrangements if one party decides not to proceed.
What details to include in your lease renewal letter:
You can send the lease renewal offer as a letter, deliver it in person, or via email (you can use customizable email templates in software like Landlord Studio to simplify this eve further). Whichever way you choose, make sure to have it in writing for your records.
A non-renewal lease letter is a formal notice used when a landlord or tenant decides not to extend the current lease. This decision can stem from various reasons for landlrods, such as selling the property or consistent issues with late rent payments. Issuing a non-renewal letter ensures that the landlord regains possession of the property at the end of the lease, allowing it to be rented to a new tenant.
In many states, landlords and tenants are required to notify the other party of their decision not to renew the lease within a specific timeframe, typically 90 to 120 days before the lease expires. Check local landlord-tenant laws for exact requirements.
If a tenant communicates their intention not to renew via email or text, some landlords opt to provide a formal non-renewal lease letter for both parties to sign. Alternatively, if a tenant submits a non-renewal letter, the landlord may follow up with an additional document requesting the tenant’s forwarding address, their reason for moving (if desired), and acknowledgment of their responsibility for any property damage-related costs.
What details to include in your lease non-renewal letter:
This “Non-Renewal Notice” template is the key to properly informing your tenant that you are no longer interested in continuing the current contract or lease.
You can send the renewal offer or notice of non-renewal as a letter, deliver it in person, or send it as an email. Whichever way you choose to deliver it make sure you have a copy for your written records.
Most states require landlords to provide tenants with written notice when not renewing the lease and it is generally considered best practice to give the same amount of notice when choosing to renew the lease as well - typically 60-90 days - though it can be longer or shorter. The notice period—often referred to as the lease renewal period—is the timeframe before the lease's expiration during which either party must communicate their decision about continuing or ending the agreement. This period is typically outlined in the lease agreement and must comply with local and state laws. You can check local landlord-tenant laws here for exact requirements.
In some states, such as California, additional rules apply. For example, landlords must have a "just cause" to not renew a lease, such as violations of the lease terms or the landlord's intent to move into the property. Without just cause, the lease typically transitions into a month-to-month tenancy automatically.
Staying informed about local regulations and following proper notice procedures helps landlords navigate the lease renewal or non-renewal process smoothly and legally.
There are particular steps that landlords need to take to communicate their wish to either renew or not renew the lease. Usually, this requires some form of written notice (see the free templates connected to this article) and generally speaking with a notice period of 30 – 90 days depending on the state the rental is in.
Landlords don’t have to put a reason for non-renewal of lease into that letter, just as tenants don’t have to give a reason if they turn down a renewal offer. State law protects both parties in this way. Once the original lease contract is over neither party is beholden to the other.
Should a tenant fail to vacate the property after the end date of the lease landlords should seek legal counsel, but it may require them to go through an eviction process to force the tenant to vacate.
If a landlord has determined to not renew the lease and given adequate notice in writing to the tenant they should not accept any additional rent payments or agree to any additional rental terms as this would be seen by the court as a default extension of the lease meaning the lease is now a month to month lease.
It’s good practice to make the lease renewal offer 90 days before the expiry of the current lease. This gives you and your tenant 30 days to consider and decide upon whether or not they are moving out. Then if your tenants decide not to take the lease renewal offer you will have established they are leaving with 60 days remaining on the lease which you can spend searching for new tenants.
With a lease renewal letter, you can stipulate new terms or the same terms. Before you send the letter then make sure to consider the length of the new lease.
You will want to adjust your rental prices fairly to keep them in line with inflation and to make sure your rental prices remain competitive. If you do decide to adjust the rental amount give careful consideration as to the amount. Raising rents is one way to frighten off great tenants especially if you raise them too much and your property is no longer competitive.
In general, if you don’t give adequate notice for renewal or non-renewal then the lease will automatically switch to a month-to-month lease. Switching to a month-to-month lease at the end of the tenancy could work out well for both of you especially if their lease ends during a period that isn’t great for finding new tenants but you don’t want to necessarily lease to them for another full year.
You must give both yourself and the tenant plenty of time to figure out what happens next. This is why we recommend sending a lease renewal letter 90 days before the lease expires. Make it clear that you expect an answer within 30 days. If you receive no response within those 30 days you have to consider that they have turned down the lease renewal offer.
Generally, if the landlord fails to give adequate notice stating that the lease will not be renewed then it will automatically transition into a month-to-month lease agreement (sometimes called a tenancy at will). This arrangement typically carries over the terms of the original lease, except that it allows either party to terminate the lease with proper notice, usually 30 days (check your local state laws here).
By not sending a renewal letter, landlords lose the chance to update lease terms, such as increasing rent or addressing policy changes (e.g., pet policies or maintenance responsibilities). This can lead to financial or operational challenges during the new lease term. Additionally, failing to provide proper notice—either for lease renewal or non-renewal—can result in legal penalties in some states. If local laws mandate written notice for changes to the tenancy, landlords could face fines, lawsuits, or difficulties regaining possession of the property.
To avoid these complications, landlords should:
Taking proactive steps ensures a smoother transition and protects the rights and interests of both landlords and tenants.
Landlords should be aware of and comply with their state laws when it comes to managing their tenants. They should clearly communicate their intentions with their tenants giving plenty of notice so that no one ends up in an awkward position.
If a tenant fails to vacate the rental property by the time the rental lease agreement is up, landlords will go ahead with that tenant’s eviction.
If there are any complications regarding the tenancy or the lease it is recommended that landlords seek appropriate legal counsel from a licensed professional.
To help our landlords avoid missing the notice period for the end of their lease we have a feature that allows our landlords to set a reminder in the app several days before the lease is set to expire eg. 30, 60, 90 days.
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