A rent increase letter is a letter written by a landlord to notify a monthly renter of an increase in monthly rent. Rent increase letters are formal documents that must reach the renter at least 30 days before the rent increase takes effect. Local laws regarding rent increase amounts may affect the required time frame for notice. In some larger cities, 90 days’ notice is required. Be sure you know your local legal requirements before you send a rent increase letter to your tenants. To be sure your document reaches your renters, send the letter by certified mail.

Landlords cannot increase the rent during a contractual lease term. Rent increases are only allowed when a lease expires, and the renter agrees to the increase by either signing a new contract, signing the increase letter, or remaining in the property after the increase has taken effect. If a renter remains in the property after the increase takes effect, that renter must pay the increased rent, or they can be subject to legal action and eviction.

What to Include in a Rent Increase Letter

This letter should include information regarding the property and the increase. Here is what to include:

  • Renter’s name
  • Property address
  • Date letter is written
  • Date the Increase takes effect
  • Date the increased rent is due
  • Reference to contract or rental agreement
  • Date the tenant must vacate property if they do not agree to increase
  • Landlord’s name and contact information
  • Last date the renter can respond
  • Use the property’s letterhead for this letter
  • Write in a professional tone
  • Send a copy of the signed document to the renter after they respond

Rent Increase Letter Format

Here is a basic format for a Rent Increase Letter. It can be easily modified for use.

{Your name}

{Property name}

{Your address}

Leave this line blank.

{Renter’s name}

{Renter’s address}

{Date}

Dear {Renter’s name}:

This letter is to inform you that effective {date of increase}, the monthly rent at {property address, unit number} will increase to {amount of increased rent}. The increased rent on the property is due on {date} and on the {number} day of each month thereafter. All other terms and provisions of your original lease agreement will remain in effect.

Please sign below, indicating your agreement of the increase and your continued tenancy, OR indicating your disagreement of the increase and the date you plan to vacate the property. Please return the signed letter by {date}.

Please let me know if you have questions or concerns. I can be reached at {phone number of email address}.

Thank you for your prompt response. We look forward to your continued tenancy.

Sincerely,

{Your signature}

{Your name}

Yes, I agree to the rent increase. I will continue to occupy the residence per my original lease agreement.

Signature: Date:

No, I do not agree to the rent increase. I will vacate the property before the end of my lease term.

Signature: Date:

Anticipated move-out date:

Sample Rent Increase Letter

Here is a sample letter based on the above format.

Andrea Moore

Santori Properties

3000 West Eiden Place

Tillerson, SC 28659

Ms. Libby Devon

3006 West Eiden Place

Apt. 200

Tillerson, SC 28659

July 20, 2030

Dear Ms. Libby Devon:

This letter is to inform you that effective September 1, 2030, the monthly rent at 3006 West Eiden Place, Apt. 200, will increase to $1,108.00. The increased rent on the property is due on September 5, 2030 and on the 5th day of each month thereafter. All other terms and provisions of your original lease agreement will remain in effect.

Please sign below, indicating your agreement of the increase and your continued tenancy, or indicating your disagreement of the increase and the date you plan to vacate the property. Please return the signed letter by August 20, 2030.

Please let me know if you have any questions or concerns. I can be reached at 765-829-2000.

Thank you for your prompt response. We look forward to your continued tenancy.

Sincerely,

Andrea Moore

Yes, I agree to the rent increase. I will continue to occupy the residence per my original lease agreement.

Signature: Date:

No, I do not agree to the rent increase. I will vacate the property before the end of my lease term.

Signature: Date:

Anticipated move-out date:

Rent Increase Letter Examples and Templates

Rent increase letters don’t need to be difficult or complex, and reading a sample letter can help you write a professional letter easily. The above basic format can be modified for your use. Simply fill out the necessary information, and you have a ready-made, professional rent increase notice.

Commercial Rent Increase Letter

A commercial rent increase letter is a formal notice of rent increase a landlord sends to a commercial tenant. The laws for commercial tenancy differ from those for private household tenancy in most areas. Please check local requirements for rent increase notice times.

60 Day Rent Increase Notice

A 60 day rent increase notice is a formal notice of rent increase a landlord sends to a tenant. This notice allows 60 days advance notice of the rent increase. 60 or even 90 days notice before the increase takes effect may be required by law in some larger cities.

30 Day Rent Increase Notice

A 30 day rent increase notice is a formal notice of rent increase a landlord sends to a tenant. This notice gives 30 days advance notice before the rent increase takes effect. At least 30 days notice of a rent increase is required almost everywhere.

Lease Renewal Rent Increase Letter

A lease renewal rent increase letter is like the notices above, except that both parties must sign a lease renewal. Modify the above format to use it for a lease renewal rent increase. The line where the tenant agrees can read: “yes, i agree to the rent increase. Please send me a lease renewal contract to sign.”

  • Know the legal requirements regarding rent increases and advanced notice required in your locality before you write the rent increase letters. Perhaps obtain legal advice from your attorney.
  • This is a professional, formal document. Clear and concise letters are recommended.
  • Be sure to give your contact information to your tenants in case they have a question.
  • Send the tenant a copy of their signed rent increase letter.

Source link

Looking For Document Management System ?
Call Pursho @ 0731-6725516

Telegram Group One Must Follow :

For Startups: https://t.me/daily_business_reads