Landlords, Home rent question

[peanut]

Is it standard procedure for rent to go up when the lease/contract is up and tenant begins month to month renting. Is that usually in the original contract or is it an addendum to the original that is made at the end of the lease?
What is normal for the increased fee if there is any?
Thanks for any insight.

 

[Jeff3C]

If they have been a good tenant (paid on time, kept the house in order, didn't complain about every little thing) I would definitely not raise the rent at the end of the contract.

On the other hand if it is a bad tenant and I want them out without evicting them raising the rent is a good way to go.

You can always sign another 1 year contract at anytime.

 

[Lurkerinthewoods]

If the tenant was trusted enough to give me a couple months notice before leaving I probably wouldn't raise it. Month to month usually runs a little higher. My main concern would be why good tenants don't want to re-sign.

According to the Tulsa World story today, almost half of Tulsa residents rent property. Did not realize it was that high.

 

[BadgeBunny]

That's what happened to me at every single house I leased from some nutcase who owned rent houses -- three times to be exact -- and it didn't go up just a little either -- we're talking a couple hundred a month at two places and $399 at the third one. After that I never rented a house again -- went back to large apartment complexes until I could afford to buy a house. Never happened at the big apartment complexes ... they just sent me a notice saying I was now month to month. Sometimes they would offer a 5% discount if I would resign another lease.

In fact, the last apartment complex I lived at actually let me out of my lease without penalty when I bought and then let me stay an extra month (without penalty) when the first closing fell through. They were some decent folks ...

 

[DanB]

Good tenants--same rent or very little increase
bad tenants--raise that rent.

Your preference is to get them to sign another lease. this guarantees your income on the property for the next 12 months. Without it you want to charge a slightly higher rent. Not enough to sting them but enough to motivate them to sign another 12 month lease.

I have a tenant vacating a property the company I work for owns. She has been on a month to month since January 1. I did not increase rent on them. Probably should have as I haven't had a rent check on time or in full since February.

Hopefully they will call and want to schedule a walk through this week so I can get it ready to rent again.

 

[HMFIC]

So are y'all saying that BB is a bad tenant

 

[mr ed]

raising the rent while still in there? find a new place to rent.
I've got a bunch of houses all my tenants have been there 3-13 years
I've never raised the rent while a tenent was still in a unit.
you start jackin' with the rent and thats when they move.
maybe they want you out??

 

[peanut]

I stopped paying rent 15 years ago. Haven't been kicked out yet!
Some good points in the above post.
Thanks.

 

[Lurkerinthewoods]

raising the rent while still in there? find a new place to rent.
I've got a bunch of houses all my tenants have been there 3-13 years
I've never raised the rent while a tenent was still in a unit.
you start jackin' with the rent and thats when they move.
maybe they want you out??

It's not unreasonable to raise the rent on a rental unit. It's really kinda expected. My former management company I used had a lady that rented the same house for 15 years, they maintained her rent and before she died she was paying 400 dollars less per month than the comparable rentals in the same area.

Not to mention the fact my insurance and taxes have gone up and the cost to replace heating and air, hot water tanks, carpeting, it wouldn't make sense not to increase rent to cover these increased cost. Unless of course you are running a charity house.

 

[FullAuto]

Having a lease means it's at least that much time before I have to replace the carpet, paint, rehab anything, etc. So when they go month to month and don't want to commit to another year, typically the rent would increase because my risk of having to spend money and shop for a new tenant would increase. But now that I say that, I have 1 property that is month to month and I didn't raise it on him. That's because the guy moved back home with his parents and just pays me rent so he can say he has his own place. He uses the garage to store stuff, still pays all the utilities but hasn't actually spent a night there in probably 2 months.