Month to Month Lease
Hi Everyone!
My tenant just asked if she can have a pet, she said she would be willing to pay whatever fees required. My question is....should I require her to renew her lease? She was hoping to purchase her first home but got priced out so she's been going MTM for $1800 for the past 6 months. Thanks I appreciate reading everyone's post. Very insightful, what a great community!
Nena, I don't mind month-to-month leases when they are in a high demand area and in my favor. Frankly, I'm impressed with how many of my tenants are comfortable with a month-to-month knowing I could kick them out with 30 days notice. Regarding pets, be careful what you charge depending on how the pet is classified. I forget the categories, but if it lies in some form of service animal, then in some states it is against the law to charge extra.
Good luck! Carl
Thank you Carl! I will definitely keep that in mind.
Quote from @Nena Luangsouphom Do:
Hi Everyone!
My tenant just asked if she can have a pet, she said she would be willing to pay whatever fees required. My question is....should I require her to renew her lease? She was hoping to purchase her first home but got priced out so she's been going MTM for $1800 for the past 6 months. Thanks I appreciate reading everyone's post. Very insightful, what a great community!
It depends what your plans are for the property, market conditions, and if you can/will command more rent for the MTM vs the lease.
The obvious advantage to the lease is reduced likelihood of vacancy over the duration of the would be lease.
the advantage of MTM is if you want to sell or do something else with the property you can move them out sooner. Tenants will often pay more money for the psychological freedom of not being committed to a lease. They may even stay longer to have that freedom vs going somewhere else where they'll have to sign a lease. If you want to raise rent you don't have to wait for the lease to be over.
It sounds like your tenant isn't trying to go anywhere and will experience less hassle paying you pet fees than applying with a pet elsewhere.
I would not require her to renew her lease. I think think the important thing here is that you secure yourself, meaning pet rent or a deposit. However you would like to handle it. Just so if the animal causes any damage you can offset costs. You can have her renew a lease until the start of the next busy season if you are worried that she will leave and you will have a hard time filling the unit during certain months.