A lease termination letter is a written notice that a lease or rental agreement will end on a specific date. A landlord sends one to end a month-to-month tenancy, and a resident sends one to give notice or to ask to leave a fixed-term lease early. The letter names the unit, the end date and the reason where one is required, and it must meet the notice period set by the lease and state law.
Every termination becomes a turn. RealPage reported that just over 54% of renters in market-rate apartments renewed their leases in the year ending October 2024, which means a 10,000-unit operator can see more than 4,000 departures a year. A clear letter, sent on time, keeps each one orderly and gives the team a chance to keep more residents.
Which Lease Termination Letter Do You Need?
When a fixed-term lease is simply ending and the landlord will not offer a new one, use a non-renewal of lease letter.
How Much Notice Is Required?
Start with the lease, then check state and local law. Three examples:
Cities and subsidized housing programs can add their own rules. In California, for example, a landlord ending a Section 8 tenancy must give 90 days' notice and have a legal reason. This article is general information. Have your legal team approve your notices for each state and city where you operate.
What Should A Lease Termination Letter Include?
- The date of the letter
- The names of everyone on the lease and the unit address
- The lease or rental agreement being ended and its start date
- The termination date
- The reason, where the law or the lease requires one
- Key return instructions and a forwarding address request
- Any fee, credit or deposit terms that apply
- The sender's signature, contact details and the delivery method used
Lease Termination Letter Examples
Copy and adapt the examples below. Replace everything in brackets and have your legal team confirm the wording for each state.
Example 1: Landlord to resident, ending a month-to-month tenancy
[Date]
Dear [Resident name],
This letter is notice that your month-to-month tenancy at [Unit address] will end on [Termination date]. This notice is given [Number] days in advance as required by [State] law. [Where required: The reason for this notice is [just cause stated under the applicable law].]
Please return all keys and access devices to the leasing office by [Time] on [Termination date]. We will contact you to schedule a final inspection, and your security deposit will be handled as required by [State] law. Please send us your forwarding address.
If you have any questions, please contact [Name] at [Phone or email].
Sincerely,
[Name], [Title]
[Management company]
Example 2: Resident to landlord, giving notice on a month-to-month tenancy
[Date]
Dear [Landlord or property manager name],
Please accept this letter as my [Number]-day notice to end my month-to-month tenancy at [Unit address]. My last day will be [Termination date].
Please let me know when you would like to schedule the final inspection. My forwarding address for the security deposit is [Address].
Thank you,
[Name]
[Phone] | [Email]
Example 3: Resident request to end a fixed-term lease early
[Date]
Dear [Landlord or property manager name],
I am writing to request an early termination of my lease for [Unit address], which runs until [Lease end date]. I would like to end the lease on [Requested date] because [brief reason, such as a job relocation].
I have reviewed the early termination section of my lease and am prepared to [pay the early termination fee of $[Amount] / give [Number] days' notice / help find a qualified replacement resident]. Please let me know what you need from me to complete this request.
Thank you,
[Name]
[Phone] | [Email]
Example 4: Mutual lease termination agreement
This Lease Termination Agreement is made on [Date] between [Landlord or management company] and [Resident names] for the premises at [Unit address], under the lease dated [Lease date].
- The lease will end on [Termination date].
- Resident will return all keys and access devices by [Time] on that date.
- Resident will pay [an early termination fee of $[Amount] / rent through [Date]] by [Date].
- After the final inspection, the security deposit will be handled as required by [State] law.
- Except as stated in this agreement, both parties are released from obligations under the lease after the termination date.
Signed: [Landlord signature and date] | [Resident signatures and dates]
Example 5: Servicemember notice of lease termination
[Date]
Dear [Landlord or property manager name],
Under the Servicemembers Civil Relief Act, 50 U.S.C. 3955, I am giving notice that I am terminating my lease for [Unit address]. I have received [permanent change of station orders / deployment orders for 90 days or more]. A copy of my orders is enclosed.
My next rent payment is due on [Date]. Under the Act, the lease will terminate 30 days after that date, on [Date]. My forwarding address is [Address].
Sincerely,
[Name], [Rank]
[Phone] | [Email]
How Should You Deliver A Lease Termination Letter?
Use the delivery method your lease and state law require. For the military notice, federal law allows hand delivery, a private business carrier, mail with return receipt requested or electronic means reasonably calculated to ensure actual receipt. Keep a dated copy of every letter, and confirm receipt in writing.
What Should Happen After The Letter?
- Talk before you accept an early termination. If a resident is leaving for a new job across town, a transfer to another community in your portfolio may keep them. A small reward for staying can cost less than a turn.
- Confirm the dates in writing. Send a short reply with the termination date, key return time and any fees.
- Schedule the inspections. Compare the unit with the condition report from the start of the lease. Paylode's move-in and move-out inspection checklist covers both inspections.
- Start marketing the unit. A resident referral reward can help fill the unit faster.
- Send the deposit statement on time. Paylode's security deposit return letter guide lists the deadlines in five states.
How Can Rewards Reduce Early Terminations?
Some early terminations cannot be avoided. Others start with a resident who feels the community no longer fits. Operators can use Paylode to reward residents for renewing early, transferring within the portfolio or referring a replacement resident, and to deliver the reward only after the action is complete.
The same approach has worked for auto-pay enrollment. When FirstKey Homes used Paylode to reward residents for enrolling in auto-pay, it saw a 25% increase in auto-pay enrollments in the first campaign period. Paylode is now part of Moved, a platform that automates resident moves. When the deal was announced, the combined company was set to support over 1.2 million residential units, so residents who do leave can also get practical help with the move itself.
For the clause that sets fees and notice for early termination, see Paylode's guide to the early lease termination clause.
Frequently Asked Questions
What is a lease termination letter?
A written notice that a lease or rental agreement will end on a specific date. It can come from the landlord or the resident.
How much notice do I need to end a month-to-month lease?
It depends on the state. In California, a landlord must give 30 days if the resident has lived there less than a year and 60 days if a year or more. In Texas, either party must give at least one month unless both agree otherwise in a signed writing.
Can a tenant end a fixed-term lease early?
Only as the lease or the law allows. Some leases include an early termination clause with a fee or notice requirement, and federal law gives servicemembers with qualifying orders the right to terminate.
Is a lease termination letter the same as a non-renewal letter?
They are related. A non-renewal letter says a fixed-term lease will end on its expiration date and will not be renewed. A termination letter can end a month-to-month tenancy or a lease before its end date.
Does a lease termination letter need a reason?
Sometimes. In California, a landlord ending a tenancy covered by the Tenant Protection Act after the resident has lived there 12 months or more must state a just cause.
How should a servicemember end a lease?
Send written notice with a copy of the military orders. For a lease with monthly rent, termination takes effect 30 days after the next rent due date. The landlord may not impose an early termination charge, and rent is owed on a prorated basis through the termination date.
Keep More Residents Through Every Lease Decision
Paylode helps property managers reward renewals, transfers and referrals, and deliver rewards only after residents take the action. See how it works for residential real estate or book a demo.
