Lease Renewal Letter (Template and Examples)

As a landlord, you may wish to hold on to a quality tenant who takes care of your property and pays rent on time. This may seem confusing as a lease is a fixed contract, and you cannot edit the end date. Nonetheless, you can retain your tenant through a lease renewal letter. This is a document presented to a tenant to extend their contract and address other tenancy issues. It is usually written a short while before the existing lease expires.

In this article, we explore why you would need this letter and how to draft it appropriately.

A lease renewal letter is a precursor to a formal contract. Depending on your offer, you may maintain the tenant for anywhere between 6 months to a couple of years. Before drafting it, consider the following:

  • Is it the appropriate time? – The best time to send this letter is 90 days to the expiration date. This gives you and the tenant enough time to plan for any eventuality.
  • Do you want to keep the tenant? – Consider whether they maintain your property and pay rent on time.
  • Do you wish to change the terms of the lease? – If so, mention it in the letter.
  • When do you need a response by? – Include a deadline
  • For how long do you want to retain the tenant?

Tips for Writing a Lease Renewal Letter

How you present this letter will determine whether or not you retain your tenant. Here are some tips to help you get the best out of your letter:

  • Address the letter appropriately
  • Get straight to the point
  • Use a polite, positive, and professional tone
  • Compliment the tenant
  • Include any renewal terms
  • Request for a response

Renewal Template to Tenant

{Date}

{Tenant’s Address}

{City, State, Zip Code}

RE: Lease Renewal

Dear {Tenant’s Name},

Your current lease expires on {date}. You have been an excellent tenant and have maintained your home in good condition. As such, I would like to offer you a {duration i.e., one-year, six-month} lease renewal at {rent amount/duration}.

If you are interested in this offer, I will send you the new lease for your review. Please inform me of your decision by {deadline date}.

Feel free to contact me if you have any questions or concerns.

Sincerely,

{Your Name}

{Property Name}

Sample Lease Renewal Letter

July 10, 2032

Annabel Lee

345 Main St.

2309 Celina, TX 23000

RE: Intent to Renew Lease

Dear Ms. Lee,

I intend to renew your lease dated July 30, 2019, that will end on July, 30 2032. You have been a model tenant and have demonstrated responsibility. As such, I am offering to renew your lease for an additional one year at the monthly rental rate of $4,000.

Please notify me of your decision by July 15, 2032, through my office. If you have any questions or concerns, email me at landl@website.com.

Sincerely,

Gregory Bellaire

Spring Homes

Lease Renewal Templates and Samples

Taking time off work to draft a lease renewal letter can be tedious and time-consuming. Here are a template and sample to guide you through the process.

Lease Renewal Letter Template

A renewal template is a pre-designed letter format for lease renewal. It contains all the essential parts that the letter should entail and can be tailored to suit a specific tenant. By using a template, you ensure you have everything in place in less time.
Details
File Format
  • MS Word

Lease Renewal Negotiation Letter

This letter is used to address specific tenant issues before agreeing to a lease renewal. It can dispute a rent hike, for instance, or complain about particular living conditions.
Details
File Format
  • MS Word

Commercial Lease Renewal Letter to Tenant

A commercial lease renewal is addressed to business owners who are renting a property. This may be individual owners, a partnership, or a company. Unlike a typical lease renewal, this letter is lengthier and addresses specific economic issues.
Details
File Format
  • MS Word

Lease Renewal Notice

This letter is sent by a landlord or authorized agent following the decision to renew a tenant’s lease. It should be sent before the existing lease expires and should include the period of the new lease and a response deadline.
Details
File Format
  • MS Word

Conclusion

A tenant may not always be aware that their lease is about to expire. By writing a lease renewal letter, you can notify them of this impending date. You can also propose a new lease and state whether you wish to maintain or change the tenancy terms. Make sure to send it in time, so your tenant has time to reach a decision. If they agree to your request, you can prepare, review, and sign a new rental lease.