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When Should I Change or Update the Tenants Listed on a Current Lease?

Signing a Lease Agreement for a Leland Rental Property“The only constant in life is change.” Heraclitus was right when he said those words and it still holds true today. Even tenants are subject to the changes life brings. Your list of occupants or leasees on the lease for your rental property in Leland should be updated with every relevant change that your tenants go through. If they go through events like divorce, death, or adding or changing a roommate or family member, the list should be updated. For the sake of both property owners and tenants, it is important to have an accurate count of all tenants and occupants in every rental home.

Lease management is a crucial element of owning a single-family rental property. As a binding contract, the lease should clearly explain all of the terms and responsibilities of both the tenants and the landlord or property owner. A lease should clearly show, by name, the tenants and other occupants in the house. This is why when renting a house, a property owner accepts a certain degree of liability for the home and everyone living in it.

Suppose an unauthorized resident damages the property. The landlord may only hold the person(s) who signed the lease responsible. The same applies to collecting rent. So, for example, if there are adult residents in the house who are not listed on the lease and the tenants fail to pay rent, the landlord cannot collect from those whose names aren’t on the lease.

There are various cases that certainly require an update to the tenant list on a lease. Among the most common of these are situations involving the death or divorce of a tenant. In such circumstances, the tenant that remains may want to continue living in the rental house. If this is what they choose, then the lease should be updated to reflect the actual responsible parties. In this event, a landlord can require the remaining tenant to re-qualify for the house based on their sole income and circumstances.

On the flip side, marriage or any additions to the household would also require a lease update. Normally, any adult living in the rental home should be a listed party on the lease. Which means, family members, as well as authorized roommates, should all appear on it. Landlords must clearly indicate that all residents must be approved before moving in, and they should be notified if and when they move out. When an adult decides to move into a rental home or decides to move out, the lease must be altered to show the change. If the lease in question is a long-term contract, the landlord can prepare an addendum instead of making a new lease. All the addendum would indicate are the names of the additional tenants.

Because tenant changes can be the result of a multitude of reasons and because the laws that govern who must be listed on the lease also changes a lot, it is important to view each situation on a case-by-case basis. Supervising both your rental properties and the occupants can be really tedious. Because of this, working with Real Property Management Champion could be very profitable for you. We help Leland property owners with lease and tenant management, including any necessary lease changes. Contact us or call us at 910-782-4488 for more information.

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.