Do you accept short term leases?

I find that getting a new lease with new tenants is always stressful. I’m curious how many people accept short term leases 6 months or less. Not long after they move on you have to get ready to find a new tenant .
Would I be silly to turn down a 6 month in this climate?

 

Sometimes a 6 month lease can be beneficial, for example if you're not sure how well the tenants will go, or currently if the lease will end in peak season (and hopefully a better market).

Anything less than 6 months would be a case by case consideration.

 

As much as a tenant moving out after 6 months can be a headache, imagine having one locked in to a long term lease who falls behind on rent and/or doesnt really want to be there, except they are locked in. Short term is the lesser of the evils imho

 

I wouldn't have considered a 6 month lease a "short term lease", and off the top of my head I don't think I've ever had a tenant on a 6 month lease actually just leave at the end of it.

 

Just don't let the Property Manage charge you more about $75 for a renewal not 1 or 2 weeks rent

 

Thank you everyone, I should avoid ending a lease in nov, dec and January right? By feb things should pick up again, or is that March?

 

It depends on the area. In an area with a high student population or one with an annual change over of personnel (eg military) such as you find in Canberra , I would avoid ending in November but would be happy with mid/late December. The student market picks up in early to mid Jan.

Take away - It pays to research the dynamics of your rental market.

 

I remember successfully leasing a property which was partially furnished and on a 3 month lease. I considered the result a very lucky one. Unfortunately the luck didn't extend to the lotto tickets I bought shortly after

 

November and December are notorious months for vacates. Ending a lease in mid to late January is ok... as things pick up from the Xmas/NY holidays by then.

 

A friend had a good take on students. He offered them an 45 week tenancy, mid Jan to end of November. The catch was the rent was 10% more than the going rate. The students liked it because they did not have to find fake excuses for breaking the lease and one year in two or three they needed to stay on a week or two meaning my friend was getting the normal annual rental. He allocated a week or two over Christmas to do any maintenance/upgrades and was ready to go once inquiries picked up.

I learnt from him that knowing your market is important.

 

My property management fees were starting to add up so as a small cost reduction exercise I now usually offer 12 months and only rarely 6 months

 

Six month is fine, I'd say a little over a third of my leases are six months. We've got 5% or less on leases that are shorter than that though- i.e. 2-3 month. I prefer them over periodic because we still retain a measure of control over vacate timing, and tenants appreciate the consideration.

 

6 months leases are cool - consider it a trial. But a 6 month lease in June - NO WAY! Make it 7