Month to Month Rental Agreement and Everything about It
The month to month rental agreement is definitely more flexible than the fixed term agreement. There are many reasons why people choose this kind of agreement, such as you are planning to travel far, you have taken a temporary job, you are away for a temporary job position or task, or you simply don’t know where you are staying within the coming months.
The Agreement Perks
Sure, the month to month rental agreement has some perks and advantages, but it doesn’t mean that it is 100% perfect. Expect some flaws with it. The agreement may not before everyone either.
Here are some basic perks of the agreement:
- It provides flexible management and arrangement for both the landlord and the tenant. In most cases, the landlords have the bigger advantage because he can make changes to the agreement anytime – without having to wait for another 12 months or 18 months
- It prevents tenants from having to pay the penalties in case they want to move out and terminate the agreement
- It provides the easiness and flexibility to terminate the lease in only a short period of time
The Month to Month Concept
This agreement is completely different from the fixed term agreement in lease duration and when the rent should be paid. In the fixed term agreement, you are bound by the longer period of time up to at least 12 months. Such a thing won’t happen when you have the shorter month to month contract.
Be advised that the rental agreement should come with the standard contents, such as:
- The lease duration
- The fact whether the lease will be automatically renewed or not
- The rent rate
- The rent schedule – from the starting date to the due date
- The names of the involved parties in details: the property managers, the landlord, and the tenants
- The information about the security deposit
- The penalties of the late payment of the rent
- The policies about guests and pets, if allowed
- The clause for the property damage
- The tenants privileges, like parking
Also remember that a fixed term agreement may include the conditions and terms for early termination, but since the month to month contract is shorter, such a condition may not be included. In general, tenants must give a notice (a 30 day one) before they move out. The same also applies to the landlord if he wants to terminate the contract.
If you need the examples for the month to month rental agreement templates, feel free to check our library and collections.