Is your lease coming to an end? Have you already started to consider what to do next? Chances are you’ll either renew the contract, shift to a month-to-month agreement, or move out to another place.
But what if your landlord has decided to sell your unit to straight-shooting house buying companies like Cream City Home Buyers or to a friend? The new owner of the house may choose to end your lease when your term is over.
In most cases, the buyer of the house isn’t required to renew or extend a lease. Or, if they decide to continue it, they have the power to change the terms and conditions from the previous owner, including the price of the rent. The worst case is when they ask you to leave your unit, and they don’t need a reason for it as long your contract is already over. What can you do to negotiate for a lease renewal?
As you know, finding the perfect apartment to rent can be challenging. It requires a significant amount of effort and time from you. Once you’ve found the house with the right amount of sunshine, a great neighborhood, and amenities you need, you’ve got to do everything to keep it. This post outlines some tips to maximize the chances of renewing a lease after the house is sold to help you make sure that your home stays with you.
Emphasize How An Excellent Tenant You Were
The main piece of advice that experts offer to renters who want to make sure that their lease gets renewed is to become the type of tenant every landlord would want to keep for years. What most renters don’t realize is that the effort to ensure your apartment stays with you starts on day one. Make sure that you’re an excellent tenant, so when the house gets sold, you can emphasize the positive qualities with the new owner.
If you have paid rents on time, was a courteous tenant, and did not cause any trouble, use these elements as part of your negotiating tools. An excellent track record will work in your favor as you try to talk to the new owner. You only have to point out the bad things you’ve not done throughout your stay in the house, like burning the place down, disturbing the neighbors, bouncing a check, breaking a window, and sneaking in a pet even if it’s prohibited.
Be Willing To Put Down A Higher Security Deposit
There’s a high chance that the new owner will increase the rent if ever they decide to renew the lease. And if that’s the case, you have to prepare for a higher security deposit. How much it is will depend on your current situation and how you have negotiated with the landlord. Keep in mind that you’re the one who’s after the renewal, so you have to be prepared to shell out more money to convince the new landlord that you’re a worthy tenant.
Suggest The Month-To-Month Option
Some landlords prefer the month-to-month extension instead of the lease contracts, and the new owner of your apartment might like it, too. While some renters don’t recommend such an agreement, it provides flexibility, and it can be your chance to stay in the house where you have become very comfortable living in.
Keep in mind, though, that such an agreement means you have less control over your situation because you’re only going to stay for successive thirty-day periods. Your new landlord could change the deal by increasing the rent with little notice. The only choice you have is to play along or move out.
The decision boils down to how much you want to stay in your apartment for more time. What you can do is to maximize each month and become an excellent tenant so that you’ll get extended for more months or even years. Avoid causing the new owner problems at all times and develop a good relationship with them.
Offer Cash Up-Front
While this won’t work if the owner of your apartment is super rich or has a large company, for small-time landlords, several hundred bucks on their pocket are worth more than a spread out over the year.
Offer to pay the first three to five months in advance to convince the new owner to renew your lease. It’s difficult to refuse, especially that the new landlord has shelled money out in buying the house and needs cash at the moment. Another option you can explore to entice lease renewal after the home gets sold is to push the payment date to before the first of the month.
Provide Services For The Building
One effective way to entice the new owner of your apartment to renew your lease is to offer some repairs on the building and shouldering the expenses. Some of the repairs you can do are bathroom remodeling, kitchen renovations, as well as landscaping the lawn of your apartment if applicable. You can also upgrade the house by installing a home security system and sharing the codes with your new landlord for emergency access.
You can also opt for home automation upgrades as long as you and the owner of the house agree on it. Carrying out these initiatives on your own as a renter would surely maximize your chances of renewing a lease after the apartment gets sold.
So, if you’ve been a trustworthy, good tenant who pays rents on time, you might have the perfect leverage when you try to negotiate for a lease extension. Other than that, you can also try the rest of the suggestions above, like switching to a month-to-month agreement, offering cash up-front, and providing services for the apartment building.
The things discussed in this post should help you maximize the chances of renewing a lease even after your apartment gets sold.