Lease Renewal Process: How Much Time Do Tenants and Landlords Have to Decide?

One of the most common questions both tenants and landlords ask is:

 “How much time do I have to decide on a lease renewal?”

The best time to start thinking about a lease renewal is 90 days before the lease expires. Whether you are a property owner or tenant, understanding the timeline and process ensures a smooth transition, prevents last-minute stress, and gives both parties time to negotiate terms if needed.

This guide breaks down the lease renewal process step by step, including when to review the lease, send notices, and finalize agreements.

What Is a Lease Renewal?

A lease renewal occurs when a tenant and landlord agree to extend a rental agreement for another term. The terms may remain the same or be updated, including changes in rental rate, lease length, or other conditions.

If the lease is not renewed, tenants must move out by the expiration date, and landlords must prepare for new tenants.

How Much Time Do Tenants and Landlords Have to Make a Decision?

Recommended Lease Renewal Timeline

• 90 days before lease expires: Review the existing lease agreement and assess renewal options.
• 60 days before lease expires: The landlord should send a lease renewal notice with updated terms (if applicable).
• 30 days before lease expires: The tenant provides a response—either accepting, negotiating, or giving notice to vacate.
• Before lease expires: Both parties sign the new lease if renewing, or the landlord prepares for a new tenant if the current one is leaving.

Step-by-Step Lease Renewal Process

Step 1: Review the Existing Lease (90 Days Before Lease Ends)

Before offering a lease renewal, landlords should check for:

• Any automatic renewal clauses.
• Terms related to rent increases and renewal conditions.
• Any new state or local rental laws affecting lease agreements.

Tenants should review:

• Their current lease terms and responsibilities.
• Whether they want to stay or explore other housing options.
• The condition of the property and any needed maintenance requests.

Step 2: Send a Lease Renewal Notice (60 Days Before Lease Ends)

Landlords should send tenants a lease renewal notice outlining:

• The proposed lease term (e.g., another 12-month lease or a month-to-month option).
• Any rent increase or policy changes.
• Instructions on how to accept, negotiate, or decline the renewal.

Providing at least 60 days’ notice allows tenants to review their options and communicate their decision in time.

Step 3: Tenant Decision and Response (30 Days Before Lease Ends)

Once tenants receive the lease renewal offer, they must decide whether to:

1. Accept the renewal and sign a new lease.
2. Negotiate terms such as rent adjustments or lease length.
3. Decline and provide a move-out notice.

If planning to move, tenants should provide proper notice according to their lease (typically 30 to 60 days). If staying but requesting adjustments, they should communicate with the landlord early.

If the tenant declines the renewal, landlords should begin searching for a new tenant and preparing the unit for turnover. If the tenant does not respond, the landlord may assume they plan to vacate or consider a month-to-month lease if allowed under the current agreement.

Step 4: Finalizing the Lease Renewal (Before Lease Ends)

If both parties agree on renewal terms, the new lease agreement should be signed before the lease expires.

If the tenant is moving out, the landlord should schedule a move-out inspection, return the security deposit per state laws, and list the unit for new tenants.

Why Planning 90 Days in Advance Helps Both Tenants and Landlords

For Tenants

• Provides enough time to consider renewal terms or explore other housing options.
• Prevents last-minute stress and rushed decisions.
• Allows financial planning if there’s a rent increase.

For Landlords

• Helps avoid vacancy periods by securing a renewal or finding new tenants early.
• Allows time to adjust rental rates based on market conditions.
• Ensures proper notice is given in case of property sale or other changes.

Common Lease Renewal Considerations

1. Rent Adjustments

• Is there a rent increase? If so, is it in line with the local rental market?
• Will the tenant be able to afford the new rental rate?

2. Lease Term

• Does the tenant prefer another 12-month lease, or would a month-to-month agreement be a better fit?
• Does the landlord want long-term stability, or are they considering selling the property?

3. Property Condition

• Are there any repairs or upgrades that should be completed before renewing the lease?
• Does the tenant have outstanding maintenance requests that need attention?

4. Future Plans

• Is the tenant planning to move in the near future?
• Does the landlord have plans to sell or make changes to the rental terms?

Providing Proper Notice for Lease Renewals

Lease agreements typically outline how much notice tenants and landlords must provide for renewal or termination.

• Standard notice period: 30 to 60 days before lease expiration.
• Landlords should provide written notices detailing lease terms and any changes.
• Tenants should submit a written move-out notice if they plan to vacate.

What Happens If a Tenant Doesn’t Respond to a Lease Renewal Offer?

If a tenant does not reply by the required deadline, landlords may:

1. Assume the tenant plans to vacate and begin preparing for a new renter.
2. Convert the lease to a month-to-month agreement if allowed under the lease.
3. Start the legal eviction process if the tenant remains without signing a renewal.

Clear communication and written reminders can prevent these issues.

Final Thoughts: A Smooth Lease Renewal Process Benefits Everyone

Whether you're a tenant deciding whether to stay or a landlord managing lease renewals, planning early makes the process easier and stress-free.

Key Takeaways

• Start planning 90 days before the lease expires.
• Landlords should send renewal notices at least 60 days before the lease ends.
• Tenants should provide a decision at least 30 days before expiration.
• Communication is key to avoiding last-minute confusion.
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For landlords managing multiple properties, working with a property management company can streamline the lease renewal process, ensuring compliance and efficiency.

Need help managing lease renewals? Contact Coastline Equity Property Management today to keep your rental process smooth and stress-free.