Is Renting Month to Month Worth It in 2020?
Most tenants prefer signing yearly lease agreements. While yearly lease agreements are more common, there is a percentage of people who prefer month to month renting. Finding a new property to live in every month or having to sign a new lease contract every month may sound hectic and cumbersome, but you will be surprised to know that you can reap numerous benefits by renting month to month.
Benefits of Renting Month to Month
Flexibility to Move
One of the many reasons why tenants are eager to sign a month to month contract is the flexibility to move. Signing a yearly lease agreement would mean that they’re bound to stay at the same place for a year. If you’re one of those people who change houses frequently, you can find month to month renting a lot more feasible and flexible.
Moreover, some people want to be sure they want to stay at a property in the long run. Therefore, before signing a yearly lease agreement, they sign a month to month contract so that they can leave if the property doesn’t please them.
Short Notice Period
When you’ve signed a yearly lease agreement with your landlord, you’re bound to inform the landlord 30 to 60 days before you plan to leave. You can’t just tell your landlord you’ll be leaving next week. Many people find this an inconvenient obligation which is why they prefer month to month renting. One of the biggest benefits of renting month to month is you can leave the property after serving a pretty short notice period.
No Specific Lease End Date
Another benefit of month to month renting is that there is no specific lease end date in such agreements. On the other hand, yearly lease agreements go by date strictly. It means that when you’re under a month to month lease agreement, you won’t face any penalty if you leave before the month ends. You just have to inform your landlord about your plans, but you aren’t legally bound to complete the month.
A Temporary Residence
Month to month renting is extremely helpful for people who are getting their properties renovated or are waiting for the construction of their new home to get completed. In such situations, they can live in a rental property on a month to month basis where they aren’t bound to complete a year.
Drawbacks of Renting Month to Month
While month to month renting is a great option for tenants, there are certain drawbacks as well.
One of the major drawbacks of renting month to month is that landlords usually charge more rent. This is because month to month renting is a lot riskier for the landlord since the tenant isn’t legally bound to complete the month. It is also more troublesome for the landlord because they’ve to go through the hassle of finding new tenants all over again when the month is over.
It is not only the tenant that can end the rental agreement any time they want. Landlords can end it too. Month to month rental contracts are a lot less stable. The tenant might be asked to vacate the property in a day or two as there is no legal obligation on the landlord to inform the tenants several days prior as in yearly lease agreements.
Now, the question, whether renting month to month worth it? Despite it being associated with numerous benefits, the stress that month to month rental agreements come with are not worth it. A tenant is always on edge, not knowing when the landlord will come with an order to vacate. Month to month renting should only be your choice when there’s no other option for you!