Should I Renew My Tenants Lease For My Crestview Rental Property?

Renewals aren’t just about convenience but about ensuring your property stays profitable, well-cared-for, and managed by responsible tenants.

In this post, we’ll break down what to consider before renewing a tenant’s lease, how to set the new rental rate, and what steps to take to protect your investment during the renewal process. At Kuntz Property Group, a professional Crestview property management company, here's an insight to what our renewal process looks like.

Evaluate the Tenant’s Performance

The first question you need to ask yourself:
Have these tenants been good tenants?

Take a look at their rental history during their current lease:

• Have they paid rent on time consistently?
• Do they report maintenance issues responsibly?
• Have they been respectful and easy to communicate with?
• Are they taking good care of your home?

If the answer is yes, renewing their lease might be a great idea. Keeping reliable tenants saves you from vacancy costs, marketing expenses, and the risk of renting to an unknown applicant.

However, if they’ve been consistently late on rent, difficult to work with, or uncooperative; this may be a good opportunity to non-renew and start fresh with a better-qualified renter.

Schedule a Renewal Inspection

Before sending a renewal offer, always complete a renewal inspection.

This inspection helps confirm that:

• The tenants are maintaining the property’s condition.
• There are no lease violations, such as unauthorized occupants or pets.
• The home hasn’t been subleased without permission.

Think of this inspection as a mid-lease checkup, it’s your opportunity to verify that everything is in good shape before committing to another term.

Bring a checklist and look for:

• Signs of property damage
• Unauthorized modifications or clutter
• Lease compliance (pets, guests, cleanliness)

If everything checks out, you can confidently move forward with the renewal knowing your property is in good hands.

Adjust the Rent to Market Value

Once you’ve decided to renew, the next step is determining the new rental rate.

Rental prices fluctuate depending on the local market conditions, and it’s important to make sure your rent aligns with what similar properties are renting for in your area.

In Crestview and surrounding markets, landlords typically increase rent by 4%-8% annually depending on demand and inflation.

You can structure the increase as either:

• A percentage-based increase (e.g., 5% more than the previous rent), or
• A flat dollar increase (e.g., $50–$125 more per month)

Keep the increase fair and justifiable, the goal is to stay competitive while keeping your good tenants happy and in place.

Click here to read our article on finding the market rental rate for your Crestview rental property.

Update the Security Deposit (If Needed)

Don’t forget about the security deposit.

If the rental rate is increasing, it’s smart to adjust the deposit to match the new amount.

For example, if your deposit previously matched one month’s rent, and rent is going up by $100, you’ll want to collect an additional $100 deposit to maintain that standard.

This ensures continued financial protection in case of damage or unpaid rent later down the road.

Send the Lease Renewal Offer

Once your inspection is complete and you’ve set the new rental rate:

• Send the tenant a lease renewal offer outlining the updated terms.
• Include details such as the new rental rate, any deposit adjustments, and the lease duration.
• Give them a deadline to respond - typically 7 to 14 days.

Once the tenant accepts, send the updated lease agreement for signature.

Final Thoughts

Renewing a tenant’s lease isn’t just a formality. it’s an opportunity to reassess your property, your tenants, and your goals as a landlord.

By evaluating tenant performance, performing a renewal inspection, updating the rent and deposit appropriately, and documenting everything properly, you’ll ensure a smooth and profitable renewal process.

At Kuntz Property Group, we handle lease renewals for Crestview landlords from start to finish including inspections, rent analysis, and documentation so you can rest easy knowing your property is managed the right way.

If you’re unsure about whether to renew your current tenants, reach out to us to schedule a property management consultation or receive a free instant rental analysis!