1 mo. ; 6mo.; 1yr lease???????????????? - Posted by MOG

Posted by Ronald * Starr on June 17, 2001 at 12:12:38:


This will depend mainly on two factors: your state law and the local custom.

To get stable renters, I select renters who show a past history of stability. Those who move every 6 months to a year–no, do not offer the property to them. Those who move less often than once every three years–yes, do offer the property to them, if they meet the other criteria.

In my state, CA, should the renter breach a lease agreement by moving out early, the property owner has to “mitigate damages.” This means to attempt to get in new renters as soon as possible. One cannot make the renters pay for the remaining months on the lease, unless it was not possible to get a new renter. Thus, from the renter’s side, this is not much different from a month-to-month tenancy. Since this is so, I usually just use a month-to-month tenancy.

Also, what is the custom in your area? Are renters used to 6-mo leases? Are they used to 1-yr leases? I suggest you not deviate too far from the norm for your area.

Good InvestingRon Starr********

1 mo. ; 6mo.; 1yr lease??? - Posted by MOG

Posted by MOG on June 17, 2001 at 06:26:18:

Anyone got any opinions on duration of lease agreements.
I have heard different things. I heard that month to month makes it so you can get rid of a tenant easier within 30 days. But I also heard that you want to get as long a lease as possible to minimzed turnover.

Any suggestions???