Whenever a resident wants to extend their lease on some property, several important things shall be made. Especially for those staying in California, there is some regulation stated by the California association with regards to the lease extension process and the addendum. As part of the legal documentation, a lease extension addendum shall be prepared and sign by both parties, the resident and the property owner. To see further information about this addendum, the following information can give a better description.
🗒 How to Extend the Lease
Before preparing a suitable tenancy agreement template, there are several things to consider first. This is important so that the suitable addendum can be prepared accordingly. The first is to check the previous term and condition, then make justification what shall be added in the extension addendum. Then, discuss this between the resident and the owner of the property. Make sure that the discussion will reach an agreement that comfortable and suitable enough for both parties.
Next is to draft the addendum and make any revisions in case needed. If both parties fully agreed with the draft, then the lease extension can officially have released and then signed by both, resident and the property’s owner.
🗓 What to Include in The Addendum
There are several major things to consider whenever someone plans to make the lease extension addendum. Be attention that the realtor’s lease shall need to include the following item in the addendum:
- The complete information of the resident name, address, and contact number if possible.
- The term and conditions of the extension including how many months and how much are the cost.
- Provided signature of both parties, the resident and the property owner.
📋 Sample of Lease Extension Addendum
The following is an extension form for the lease extension addendum template. It can generate easily with Microsoft Word, and print to PDF or send to a printer.
The Main Purpose of the Addendum
The addendum above is made with several main purposes. With this lease extension addendum, it can give flexibility to the residence to automatically extend the period of the leasing without the need to leave the property. Therefore, this can be mention as an effective way to get an easy property to extend.
Furthermore, the addendum also purposes to discuss any new terms in the leasing agreement. In case of any change on the leasing cost, or any new regulation from the property owner. Through this addendum, it can properly add as a new note and agreement.
Additionally, in California, there might be certain rules and specific laws related to the lease extension. Mostly related to the proper administration whenever someone plans to extend their lease on a property. Therefore, this is one of the main concerns that shall be prepared properly. Make sure that anything covered in the addendum also suits California regulation and not violating any rules.
Step to Create the Addendum Template
A lease extension addendum might not be a common letter for some people. The residence that needs to prepare this addendum for the first time might found some difficulties. Therefore, the best is to follow the below step so that you will able to create a proper template for the lease extension addendum.
- Prepare New File
Start to create a new file in Microsoft Word. Save the file with a proper name so that it can easily access in the future in case needed. Prepare a blank page and then continue with the draft.
- Add information of the resident data
At the top part of the page, write the resident name, address, and contact number. So that the addendum will be purpose and apply to the specific resident. If necessary, the resident ID number can also add. Therefore, it can help to give suitable information for the property owner and the California state.
- Write the term and conditions of the extension
Continue with important things that shall be mention in the addendum. To make sure you write a proper term and condition, manage to have a preliminary discussion between the residence and the owner. Discuss whether there is any change in the leasing terms, such as in case of any change in the payment method or rental cost.
This section also discusses major issues including how many months the extension will be needed. Make it clear between both parties so that nobody will violate the agreement in terms of the leasing date in the future.
- Provided signature
Last, at the bottom part of the page, make sure to put the signature of both parties. Whether the resident or the property owner, they need to understand each other and agree on the written addendum. Therefore, to make the addendum legal in have powerful law, then a suitable signature shall be placed inside it. Specially to comply with California state regulation, that required this signature format to make the addendum legally applicable.
Those the lease extension addendum explanation and the sample too. Therefore, in case someday you want to extend the monthly lease of your property around California, it will not be easy to implement the above information.