A lease renewal agreement is a document that allows a landlord to extend the current rental period with a tenant. This form modifies the expiration date of the original lease agreement while maintaining many of the same terms that were already established on that lease.
What is a Lease Renewal Agreement?
Lease renewal agreements, or lease extensions, are used to officially continue a rental contract before the current lease period expires. Though both renewal and extension have the same effect, some states define them differently.
A lease renewal is essentially a newly drawn up lease agreement that updates the duration of the rental period. It can also be used to renegotiate terms, such as a rent increase or new amenity benefits for tenants, after the current lease period ends.
Lease extensions are simply a continuation of the existing terms — extending the agreement after the original lease period ends.
When Should I Use a Lease Renewal Agreement?
You should use a lease renewal agreement whenever you want to continue renting your property to the current tenant, or if you need to update the terms of the current lease.
Whether you’re a landlord or a tenant, you can use a lease renewal agreement to let the other party know your intentions. In most states, landlords must give their tenants advance notice of renewal (or non-renewal) intent within a certain amount of time before the lease expires.
You can also use a lease renewal agreement to request changes to the existing lease terms. For example, a tenant might want to request improvements to the amenities in the current agreement, or a landlord might seek to increase the rent.
A lease renewal agreement can also be used to change the structure of an existing lease after it ends. For example, tenants considering a switch to short-term lease or a month-to-month lease agreement can set up new amendments without needing to restart the application process.
Lease Renewal Agreement Template [PDF & Word]
The following template is a printable lease renewal agreement that you can download to modify or extend a lease with your tenant.
This Lease Renewal Agreement (this “Renewal”) is made as of this ___ day of ___________, 20___, by and among/between: Landlord: __________, located at __________ [Address] (“Landlord”) and Tenant(s): __________, located at __________ [Address(es)] (collectively, “Tenant”). Each Landlord and Tenant may be referred to individually as a “Party” and collectively as the “Parties.” WHEREAS, Landlord and Tenant entered into a lease agreement dated ___________, 20___, and any amendments thereto (the “Lease Agreement”) for the rent and use of the property located at __________ [Property address]; and WHEREAS, the Lease Agreement will expire on ___________, 20___; and WHEREAS, Landlord and Tenant now wish to extend the term of the Lease Agreement ( ☐ pursuant to __________ [Section number] of the Lease Agreement). NOW THEREFORE, in consideration of the promises and mutual covenants contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: ☐ Tenant shall pay an additional $__________ as security deposit, in addition to amount previously paid under the Lease Agreement, within __________ days from the start of the Extension Term. ☐ Tenant shall NOT pay an additional security deposit. IN WITNESS WHEREOF, this Renewal has been executed and delivered as of the date first written above.Lease Renewal Agreement
State of __________
LEASE RENEWAL AGREEMENT
____________________
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Landlord Signature
Landlord Full Name
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____________________
Tenant Signature
Tenant Full Name
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Tenant Signature
Tenant Full Name
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Tenant Signature
Tenant Full Name
How to Use a Lease Renewal Agreement
The process for using a lease renewal agreement should begin before the lease ends. State and local laws often define how far in advance a landlord must provide notice of intent to renew before the lease expires. However, best practices are to state your intent at least 60 days before the lease end date.
Step 1: Send a Lease Renewal Letter
Landlords are often required to send a notice to let the tenant know that:
- The landlord is willing to negotiate a lease renewal or extension
- The landlord is inquiring whether the tenant wants to continue renting the property
- The landlord is unwilling to extend the lease, so the rental period will end as scheduled
While the lease renewal is usually initiated by the landlord, tenants can send a request for any of the above conditions as well. If the tenant doesn’t want to renew the lease, they should send a written intent of non-renewal notice to their landlord.
Step 2: Negotiate the Terms
In most cases, the landlord decides whether to renegotiate the lease. The tenant can request amendments as a bonus for renewing the lease, but ultimately it’s to the landlord’s discretion whether or not they want to make changes to the original terms.
Once the tenant and landlord agree on new terms, the landlord can then include them on the lease renewal agreement. If both parties agree on keeping the same terms, the lease renewal will mention that the original lease will be in “full force and effect.”
Step 3: Gather the Important Documents
Typically, a lease renewal doesn’t require additional legal documents, but you should still have in writing:
- A copy of the old lease
- The new rent amount
- Changes to the terms and conditions
- The end date of the old lease and the start date of the lease renewal
Step 4: Sign the Lease Renewal Agreement
Once the terms are agreed upon, both the landlord and tenant should read over and sign the form. Make sure that everyone understands the new arrangement and keep a copy of the officially renewed lease agreement.
How to Fill Out a Lease Renewal Agreement
A lease renewal agreement is essentially a new contract, so it’s important to follow the correct steps in completing the form.
Step 1: Fill out Landlord and Tenant Information
Record basic contact information and names for both the landlord and the tenant.
Step 2: Write the Date and Property Address
The original start and end date should both be noted, along with the beginning and end of the new lease extension — also referred to as the “Extension Term.” The address of the rental property should also be included.
Step 3: Determine the Rent Amount Agreement and Security Deposit
Note the renegotiated rent amount or if the price per month remains unchanged. Mention whether or not the tenant needs to pay an additional amount for the security deposit.
Step 5: Changes to the terms and conditions
Any amendments to the original lease negotiated by both the landlord and the tenant should be described. This step is important in distinguishing between a lease renewal or lease extension in some states.
Step 6: Signatures
Both the landlord and the tenant should sign and print their names on the document. Make sure that both parties keep a copy of the official document.