A month-to-month rental agreement is a document found in real estate companies. It is usually a contract between landlord and tenant. This agreement can be terminated by either party on a written notice of lease termination. The period to give notice varies from state to state of where the property is situated. The most common period is within thirty days. For the termination to be considered valid, the party that wants to cancel the contract is expected to either hand-deliver or send the notice through a certified mail with a return receipt.
Introduction
A month-to-month lease is a contract between tenants and landlords. It is a rental agreement that continues until terminated by either the tenants or landlords within a notice period of 30 to 60 days. The termination notice can be conveyed by the disinterested party through certified mail having paid attention to what is required by the Laws of the state that particular property is located. Altogether the month-to-month lease agreement is still valid if at all none of the parties want to terminate the contract.
Month-to-Month Lease Agreements for Landlords
High rent rate- landlords who engage in the month-to-month rental agreement should be in a position to acquire high rent due to the instabilities that tag along with this type of contract and plans.
Increase Rent - with ample notice period, the landlords should be able to increase the number of rent tenants is paying at any given time. The increment can be affected from the next rent payment date. This also is subject to be agreed upon by the tenant. If the tenant does not agree to the new terms, they can as well quit the agreement.
Should be able to vacate tenants - the owner of a property who would like to eliminate a tenant based on different reasons. Whether the tenant is a bad one or the landlord has found a better offer are grounds to eliminate a tenant for landlords. The elimination can occur at any time as long as the landlord gives the tenant early notice.
Month-to-Month Lease Agreements for Tenants
Minimal obligation- the contract should be a perfect document that allows them to terminate the contracts at any given time. The reasons for termination may largely vary from wanting temporary housing, moving due to work reasons, or wanting to leave the property because they found a better deal. In all these situations among others, the tenant should be able to terminate the month-to-month lease agreement.
Should not have specific expiry dates - Although mostly the month-to-month lease agreement is usually considered to be a short-term rental agreement, it could go on for a longer period and even years if both the landlord and the tenants are in cohesion.
A better option for roommates - If tenants are sharing occupancy and one of them decides to move out, the other tenant is permitted to terminate the lease agreement if they feel like they will be burdened to raise the amount of rent alone.
Furnished - Most properties that have the month-to-month option are furnished in most cases. This allows the tenants benefits of not moving in and out with items and all the stress that comes with outfitting a rental property.
How to Fill out a Month-to-Month Lease Agreement?
A month-to-month lease agreement template is downloadable on CocoDoc, which also allows one to edit PDF online. To fill out an agreement, the first step is writing the name of the landlord and the tenant who is abounding to the terms in the given contract.
Give a specific identification of the apartment, room, or house you are taking.
Document the amount of money you will be paying for rent. This will need a background check on housing rates in your area of residence.
In cases where your tenant does not meet the income requirements, or their credit score is too low; you can include a third party in the agreement such as their parent if they agree. In this case, the guarantor can be held liable for any unpaid rental bills.
Note the security deposit. Mention the amount required upfront as a security deposit for the said housing unit. This is usually equivalent to one month’s rent. However, the maximum amount of money that a landlord can ask from the tenants is governed by the law and differs from state to state.
In a month-to-month lease agreement, there are no specified terms for the lease. In that case, you are supposed to indicate the amount of time that a notice should be issued should any party decide to terminate the arrangement. Again these terms of notice period vary from state to state.
Conclusion
A month-to-month lease agreement is a legal document that bides a tenant to the landlord for a given period of time when they are in business. The contract is simple and takes care of both the landlord’s and tenant’s needs. It favors both sides in case any party needs a termination but requires the party to give an earlier notice according to the terms that were agreed upon during the signing of the contract.
