Our lease requires a written “Notice to Vacate” at least 60 days before the lease's end date. We start our back office Lease Renewal Process 90 days before the Lease-End date to allow for time to review the tenant and property history and confirm with the Owner if they intend to continue leasing the property.

If the Lease Renewal is not approved by the Tenant, Owner, and Property Manager, we will begin our Tenant Move-Out Process.

Below are the steps that we follow in our Lease Renewal Process:

Step 1: We have reviewed the tenant's payment and maintenance history and determined that they qualify for a lease renewal, assuming that they are willing to remain on the property for another lease term.

Step 2: Please confirm with us within the next 7 days if there is any reason that you do not wish to rent out this property anymore...otherwise we will be moving forward with our renewal process.

Step 3: We will carefully review the current rental rates in the area to determine if and how much of a rent increase we can apply.

• **(We see that rent prices have leveled off over the last 2 years...so we will want to be very conservative on any rent increases to avoid losing a tenant)
• **Rent increases are important to up with rising expenses and market values but are not always justified if losing a great tenant results in any of the following:
• Loss of rental income associated with a vacancy during the turnover and marketing period.
• Expenses associated with rent-ready maintenance after the tenant moves out.
• Expenses associated with tenant placement fees.

The above examples can zero out and sometimes counteract any perceived end-of-year profit versus keeping a good tenant in place, even at a slight increase.

• **From our experience managing homes, between making more money to keep up with inflation and not losing your tenant. a 3% rent increase is a happy medium

Property Maintenance at Lease Renewal:

Property owners can benefit in the long run if they renew the lease with a dependable tenant instead of leaving the property vacant. This saves them from incurring costs associated with vacancy, turnover, and tenant placement fees. To keep the property desirable and encourage the existing tenant to stay for multiple years and agree to rent increases along the way, it's important to address normal cosmetic wear and tear at both lease renewal and move-out. Naturally...Over time, just by living in it...occupied properties experience normal wear and tear on cosmetic items such as paint, flooring, appliances, and fixtures. (We are not referring to tenant damage or misuse). No matter how well you take care of cosmetic items, they will wear out over time. When tenants move out, these items are usually fixed to attract new qualified tenants. However, these simple cosmetic updates are often overlooked at lease renewal, which can make the property less desirable to continue to rent and result in a Move-Out.