Rent Increase Notice: When, How Much, and What to Say
Keep Your Property Profitable Without Losing Great Tenants
Raising rent can feel like walking a tightrope.
You want to cover rising costs—but you also want to keep a reliable tenant happy.
Handled the right way, a rent increase is no big deal.
Handled poorly, and you could trigger a move-out, a vacancy, or worse—damaged trust.
This guide gives you the exact strategy to raise rent with confidence—including: ✅ When to send a rent increase notice
✅ How much is considered fair
✅ What to include in your message
✅ And how Nextpad Homes helps you manage the process smoothly and professionally
When Should You Send a Rent Increase Notice?
Most rent increases happen at lease renewal, not mid-lease (unless your lease agreement includes a built-in clause allowing it).
General Rule:
For month-to-month tenants: Send notice at least 30 days in advance (Tennessee and many other states)
For fixed-term leases: Provide 60–90 days notice before the lease expires, depending on your lease terms and state laws
✅ Pro Tip: With Nextpad Homes, you’ll get automatic reminders 60–90 days before a lease expires—so you have time to evaluate, communicate, and prepare.
How Much Should You Raise Rent?
There’s no universal number—but most tenants expect small, predictable increases. In 2025, market rates are still trending up—but tenants are watching every dollar.
Typical Range:
3–7% increase is generally considered reasonable
More than 10% should be backed by major upgrades or market justification
Before You Decide:
Check local comps using tools like Zillow or Rentometer
Factor in rising expenses (taxes, insurance, repairs)
Review the tenant’s history—on-time payments, communication, care of the unit
A modest rent increase paired with good communication is far less likely to result in turnover than a surprise bump with no explanation.
What to Include in a Rent Increase Notice
A professional rent increase notice should be:
Clear (include new rent amount + effective date)
Polite (thank your tenant, express appreciation)
Compliant (give appropriate notice period)
Actionable (let them know next steps)
Sample Rent Increase Notice (Email or Letter)
Subject: Upcoming Lease Renewal and Rent Adjustment for [Property Address]
Hi [Tenant Name],
We hope you’ve enjoyed your time at [Property Address] and we want to thank you for being a great tenant over the past year.
As your lease approaches renewal on [Lease End Date], we’d love to offer you the opportunity to continue your residency.
Due to rising maintenance and property costs, we will be adjusting the monthly rent from $1,500 to $1,550, effective [Date New Lease Begins].
This updated rate remains in line with current rental prices in the area and reflects our ongoing commitment to maintaining a safe and comfortable home.
If you’re interested in renewing, please let us know by [Response Deadline] and we’ll send your updated lease for electronic signature.
We appreciate your tenancy and look forward to the opportunity to continue working together.
Best regards,
[Your Name / Nextpad Homes Portal]
✅ With Nextpad, you can customize and send notices like this directly through the tenant portal—and track when they’re viewed or acknowledged.
What Happens Next?
If the Tenant Accepts:
Send updated lease terms for e-signature (Nextpad does this for you)
Update rent amount in your rent tracking system (also automatic in Nextpad)
If the Tenant Pushes Back:
Be open to a brief conversation—but stay firm on your reasoning
You might offer a small compromise (longer lease term, minor perk, etc.)
If the Tenant Declines to Renew:
Begin marketing the unit and preparing for turnover immediately
Use the time you gave yourself (thanks to the early notice!) to find a qualified replacement
Final Tips for Successful Rent Increases
Be proactive—don’t wait until the last minute
Document everything—emails, notices, lease updates
Be consistent—apply the same process to all tenants to avoid bias
Stay professional—this is a business transaction, not a personal favor
The smoother your process, the less likely a good tenant is to walk away from a reasonable increase.
How Nextpad Homes Makes Rent Increases Easier
You don’t have to track lease dates manually or send awkward emails from scratch.
Nextpad Homes automates and streamlines the full renewal and rent adjustment process.
With Nextpad, You Get:
Lease expiration alerts at 90, 60, and 30 days
Rent increase templates you can customize and send instantly
Digital lease updates + e-signatures
Auto-updated rent in the payment dashboard
Full communication logs for compliance and clarity
Whether you’re managing one property or a growing portfolio, Nextpad Homes helps you handle renewals with professionalism and structure.
A Clear Notice Builds Trust—Not Tension
Raising rent is part of landlording.
But how you communicate it is what determines whether you retain a great tenant—or trigger a turnover.
With Nextpad Homes, you can:
Raise rent fairly
Keep great tenants longer
Stay legally compliant
And protect your long-term cash flow
👉 Ready to simplify rent increases and automate your lease renewals?
Use Nextpad Homes and handle rent adjustments with clarity, confidence, and zero guesswork.