How to Write a Lease Renewal Letter (Free Template Included)
If you have a good tenant, keeping them is almost always better than finding a new one. The average cost of turning over a rental unit — advertising, vacancy, cleaning, potential repairs — easily runs into thousands of dollars. A well-timed lease renewal letter is one of the simplest tools a landlord has to protect against that cost.
This guide covers when to send a renewal letter, what to include, and provides a free template you can use right away.
Why the Timing Matters
Most landlords wait too long. They let the lease expiry creep up, then scramble to either negotiate a renewal or find a new tenant with no lead time.
The right window to send a renewal letter is 60 to 90 days before the lease end date. This gives your tenant enough time to make a decision, gives you enough time to find a replacement if they decide to leave, and keeps the conversation from feeling rushed or pressured.
If you wait until 30 days out, you're already behind.
What a Lease Renewal Letter Should Include
A good renewal letter is clear, professional, and gives the tenant everything they need to make a decision. It should cover:
1. The current lease end date. Make it explicit. Don't assume the tenant remembers the exact date.
2. The proposed new lease term. Specify the start date, end date, and duration. A standard renewal is 12 months, but month-to-month arrangements are also common depending on your situation.
3. Any changes to rent. If you're increasing rent, state the new amount clearly and give sufficient notice as required by your local tenancy laws. In most Canadian provinces this means 90 days notice for a rent increase.
4. A response deadline. Give the tenant a clear date by which you need their decision — typically 2 to 3 weeks from the date of the letter.
5. Next steps. Tell them what happens after they respond — signing a new lease, continuing month-to-month, or beginning the process of vacating.
Free Lease Renewal Letter Template
[Your Name or Property Management Company]
[Property Address]
[Date]Dear [Tenant Name],
I hope you have been enjoying your time at [Unit Address]. Your current lease agreement is scheduled to expire on [Current Lease End Date], and I wanted to reach out well in advance to discuss your plans for renewal.
I would be pleased to offer you a renewed lease on the following terms:
- New Lease Term: [Start Date] to [End Date] (12 months)
- Monthly Rent: $[Amount] per month
- Security Deposit: [No change / Updated amount if applicable]
If you would like to renew your lease, please let me know by [Response Deadline]. I will then prepare the new lease agreement for your signature.
If you have decided not to renew, please provide written notice by [Notice Deadline] so that I can begin making arrangements for the unit.
If you have any questions or would like to discuss the terms, please don't hesitate to reach out at [Your Phone / Email].
Thank you for being a valued tenant. I look forward to hearing from you.
Sincerely,
[Your Name]
Tips for Sending the Letter
Send it in writing, even if you've already spoken verbally. A written record protects both parties. Email is acceptable in most jurisdictions and provides a clear timestamp.
Keep the tone warm but professional. You're running a business, but you're also dealing with someone's home. A renewal letter that feels like a form letter is less effective than one that feels personal.
Follow up if you don't hear back. Send a brief follow-up a week before your response deadline if the tenant hasn't replied. Don't let silence become a last-minute scramble.
Know your local rules. Lease renewal notice periods and rent increase rules vary by province and territory in Canada. In Ontario, landlords must give 90 days written notice of a rent increase. Always check the rules for your specific jurisdiction before sending.
Tracking Renewals Without Losing Track
If you manage more than one unit, keeping track of multiple lease end dates manually is where things start to slip. A spreadsheet works until you forget to check it — and most landlords do at some point.
Purpose-built lease tracking software like Unitdesk automatically flags leases expiring in the next 60 days and sends you a reminder email so you're never caught off guard. The renewal window shows up on your dashboard before it becomes urgent — which means you can send letters like the one above at exactly the right time, every time.
The Bottom Line
A lease renewal letter doesn't need to be complicated. What it needs to be is timely, clear, and professional. Sending one 60 to 90 days before the lease expires gives everyone enough time to make a good decision — and keeps your vacancy rate low.
Use the template above as a starting point, adapt it to your situation, and send it while you still have time to act on the response.