Over 57% of renters in the United States with expiring leases renewed them over the last 12 months.
Renewing a lease agreement with a tenant in Denver can be smooth if both the landlord and tenant cooperate. The lease renewal agreement is an extension of the current lease agreement. It allows the tenant to stay in the rental property for an additional period.
In this blog, we'll discuss some steps to follow on how to renew a lease agreement with a tenant in Denver.
Review the Current Lease Agreement
The first step is to review the current lease agreement to understand when it ends. The landlord can also review the renewal terms and conditions and any requirements for renewal.
Review the Current Rental Market
Next, landlords must review the current rental market to ensure the rent is reasonable. Landlords must consider the property's location, size, and condition when determining the rent increase—if any.
If any improvements or repairs have been made to the property since the last lease agreement was signed, then the landlord can consider increasing the rent to cover the additional costs.
Contact the Tenant
Afterward, the landlord should contact the tenant before the lease ends. This allows them to inquire if they want to renew their lease agreement.
If they are, schedule a meeting to discuss the renewal details. You can also use the opportunity to discuss any concerns or issues that either party may have.
Landlords should provide the tenant with the new lease agreement at least 90 days before the lease expires. This gives the tenant sufficient time to review the contract and seek legal advice.
If the tenant is not interested in renewing the lease, the landlord has to look for a new tenant for their homes for rent.
Negotiate the Terms
If the tenant agrees to stay, the landlord should review the terms of the new lease, including the length of the lease, the rent amount, and any other conditions or requirements.
Both parties should negotiate these terms to ensure they are fair and reasonable. If there are any disagreements, enlisting a mediator's services to help resolve them may be helpful.
Sign the Renewal Agreement
Once the terms of the renewal agreement have been agreed upon, both parties should sign the new residential lease agreement. The landlord should provide the tenant with a copy of the signed contract for their records.
Update the Lease Agreement
Finally, the landlord should update their records to reflect the lease renewal. This includes updating any rental software or lease tracking systems being used.
Additionally, the landlord should provide a copy of the updated lease agreement to any relevant parties. This includes property management companies or lenders.
How to Renew a Lease: Create Lease Renewals With Laureate, Ltd
Thinking of how to renew a lease? Look no further than Laureate, Ltd.
Laureate, Ltd is a property management company that provides fixed-term lease agreements and month-to-month lease agreements that are state-specific and customizable. We strive to ensure your lease reflects all the unique aspects and rules of your property.
Contact us today to get started.
