Rental agreement for another year

[applegreen]

Hi, I am a first time landlord from Toronto, the l year lease agreement is about to expire in August, Can I ask the tenant to renew for another year or it has to be on month by month ? thanks and appreciate, Yvonne

 

[invst4profit]

You may ask a tenant to sign a new lease, including making changes (or not), however it is entirely up to the tenant to decide if they wish to do so. If they chose not to sign a new lease the existing lease continues on a month to month basis.

The difference between a defined length lease and month to month does not change any legal conditions for either the tenant or the landlord except... in the case of a tenant on a lease they may be held responsible for the rent owing for the duration of the lease if they leave before the lease is up. Tenants regularly give notice and vacate mid lease but rarely are held liable for the total rent owing due to the fact that landlords are responsible for attempting to find a replacement tenant.

 

[RussellWestcott]

My Property Manager will ALWAYS AND ENTHUSIASTICALLY ENCOURAGE the tenants to sign a new lease. We want the most up to date leases on our files.



I know this is a different province, because in Alberta the Landlord has a choice not to renew a lease at the end of the term (with the proper notifications).



It is a good business practice to have the most up to date agreements between you and your clients... plus banks like up to date leases when evaluating your Mortgage applications. But at the end of the day in Ontario is is up to the tenant if they want to sign a new lease...

 

[housingrental]

Good post above from Greg

The only thing to add is note that month to month is really 60 days notice, at the end of month

I recommend you check out and read through the forms / situations at http://www.ltb.gov.on.ca

 

[invst4profit]

In Ontario legal notification for termination of a lease is two rental periods.



To clarify if a tenants pays rent monthly and rent is due on the first of January they must provide written notice to vacate prior to the first if they wish to terminate their lease at the end of February.

Giving notice on the second of January would not legally terminate the lease until the end of March.



It would be very nice if we in Ontario could update leases but legally the lease a tenant initially signs is the lease that remains in effect for as long as the tenant stays if they chose not to sign a new lease.



The only exception to this is tenants in Mobile Home Parks. Park owners may change the rules whenever they chose simply by providing the tenants a copy of the changes. Excluding rent increases which are annually.

 

[applegreen]

thanks everyone, I learned a lot from you guys.