How do I word a residential lease agreement?
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If you think you may want to sell during the lease term, it’s often best not to use a long lease and instead continue month-to-month so you can end the tenancy faster. Practically, landlords sometimes get tenants to leave with incentives (like moving expenses). You could also add a clause to the lease reserving the landlord’s right to terminate with 30 days’ notice if the property is sold.
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I have a tenant under an informal arrangement and now want her to sign a lease. I anticipate she may not leave willingly if we decide to sell the home, though we have no immediate need to do so. How can I word the lease to protect against this?
Have you discussed with the tenant the possibility of signing a lease agreement?
I’m doing that now.
How long has the tenant been living on the property under the informal arrangement?
Five years.
Is there anything else the lawyer should know?
No.
Hello, my name is Daniel. I’ve been a lawyer for over 21 years. To understand better:
- Is the tenant willing to sign a lease at all?
- Do you want to make sure the tenant cannot leave early?
- What’s your biggest concern right now?
Yes, she is. My main concern is that in the future, when we sell, she won’t leave willingly—and without a lease, we’ll be in a worse position.
If you think you may want to sell during the lease term, it’s often best not to use a long lease and instead continue month-to-month so you can end the tenancy faster. Practically, landlords sometimes get tenants to leave with incentives (like moving expenses). You could also add a clause to the lease reserving the landlord’s right to terminate with 30 days’ notice if the property is sold.
There are no incentives—she’d prefer to stay. The lease already has a 30-day notice period; it’s month-to-month. Can you confirm that I’m better off with a lease than no lease?
With a 30-day notice lease or no lease at all, the outcome is basically the same. If she doesn’t leave, you’d give notice and then file for eviction in court.
Just to be clear: if she has no lease, how do I file for eviction?
Same way—give 30 days’ notice, then petition in court. Many landlords use an eviction firm for a flat fee to expedite.
Okay, all set.
Perfect, thank you! It’s been great chatting with you. Wishing you all the best.
Thanks.
Most welcome.
