Month to month lease

[Nick Ragland]

Hi BP,

I currently have a duplex that I’m house hacking. My tenants 12 month lease is up 2/2/2020. I gave them a 90 day notice saying that I’m willing to offer another 12 month lease. Adjustments include:Increasing rent from $1800 to $1980. Splitting the electric and water bill by number of tenants (right now they’re paying $250 flat rate for water and electrical for 5 people. I realized early in their tenancy that this was a mistake on my part. The first electric bill after they moved in was $790 for 2 months. Water consumption was also very high. They are asking if they can extend lease 4 months to the beginning of June. Should I charge a monthly premium since they want to go month 2 month? I also feel like having the lease end in June would be much better than February and could make it easier to fill vacancy. They haven’t missed a payment and are respectful.Any suggestions would be appreciated!

[Frank Geiger]

You can write up a new 4 month lease when their's ends with the new rate of $1980. This will be much better for both parties. They get to stay till they want, you get increased rent, and it's much easier to rent Northern properties in the summer. 

If they haven't missed a payment and are good tenants, I think its a good idea.