Lease Extension Agreement

Lease Extension Agreement templates lets tenants and landlords extend their present lease agreement instead of creating an entirely new contract.

• Unlike a lease renewal agreement, this template does not create a new lease. 
• Extends your current lease without interruption.
• Follows most of the original terms and updates things like rent or the new expiration date.
• Works for residential properties, commercial spaces, and short-term rental agreements.

Save yourself the hassle of drafting, negotiating, and signing a completely new lease. The template is free to customize and use in Word or PDF format before signing.

What is a lease extension agreement?

A lease extension agreement is a short contract that extends the length of your current lease․ However‚ this does not replace your current lease․ It amends it․ All terms will still work unless you change them in the extension․

Sometimes called a lease extension addendum‚ it specifies the new end date‚ as well as any changes to the rent and any other changes․ 

Lease extension vs. lease renewal 

This is the most common point of confusion, and it matters practically:

Use an extension when the original lease is solid and the relationship is stable. Use a renewal when you want to make significant changes or when the original lease has clauses that no longer apply.

Who should use this template

A Lease Extension Agreement template is used when you’ve agreed to continue the existing lease but want to update rent conditions. These conditions are usually minor changes that should not affect the entire lease agreement, e.g., when you want to extend your lease periods or set new rent prices. The template is suitable for:

• Residential landlords and tenants
• Commercial property owners and business tenants
• Property managers
• Short-term rental hosts
• Companies leasing office, retail, or warehouse space

When to use a lease extension agreement

This lease extension agreement template let you cover the following rent-lease scenarios:

• The tenant needs more time which will extend his present tenancy duration.
• A landlord wants to keep a good tenant around
• A homebuyer experiences a house closing process delay.
• A business is relocating but the new space isn't ready yet
• You want to prevent any period when your rental property remains unoccupied by tenants.
• You want to convert your present fixed lease into a month-to-month agreement.

What to include in a lease extension agreement

The lease extension is a formal document that must include certain details. Aside from naming all parties to the agreement, the lease extension addendum should also reference the earlier agreement that is being extended. Here’s what the lease extension agreement sample covers:

Extension details

• New lease start and end dates
• Whether it's fixed-term (like 6 months) or periodic (month-to-month)
• Rent amount, how and when to pay it
• First payment date under the extension

Legal terms

• Confirmation that original lease terms still apply
• How defaults and late payments are handled (per the original lease)
• All the amendments that you're making 

Basic info

The basic information stays the same as in the original agreement. The lease extension should duplicate the landlord and tenant names, company details (if it’s a commercial lease), and the property address.

The same people should sign the lease extension agreement; otherwise, it won’t be legally enforceable.

Notice requirements

• The typical notice period is 28 days, but this is flexible. 

Signatures

• Signature lines for all parties
• Date of execution
• Clause binding successors and assigns

How to write a lease extension agreement (step-by-step)

A lease extension doesn't need to be long, but it must be complete. Here’s how you can customize the template and create your lease extension agreement.

Step 1. Pull and read the original lease 

Before drafting anything, review the full original lease. Pay close attention to the lease's end date‚ rent due‚ notice requirements and any clauses that were temporary or limited time‚ such as discounts‚ parking‚ or rent concessions․ Decide what will continue and what will expire․

Reference to the original lease in your extensions agreement.

Example clause:

"This Lease Extension Agreement amends the Lease Agreement dated [DATE] between [LANDLORD NAME] and [TENANT NAME] for the property located at [ADDRESS] ('Original Lease')."

Step 2. Check local rent control and notice laws 

Before raising your rent‚ check with your state or city․ In many locations‚ landlords can only raise the rent a certain percentage each year or must give 30 to 60 days written notice of the increase․ In those states‚ the notification must occur separately from the extension agreement before the new rent takes effect‚ rather than at the same time as signing․

Step 3. Decide on the extension type. 

• Fixed-term: set a specific new end date. 
• Month-to-month: note the conversion.

Step 4. Fill in the details 

Name all parties and enter the new dates and rent.

Example clause:

"The lease term is extended beginning on [START DATE] and ending on [END DATE]. After this date, the tenancy shall convert to month-to-month unless a further written extension is signed by both parties."

Step 5. Update rent amount 

Write the rent during the extension, whether or not that amount will be the same as the original․

Example clause:

"The monthly rent during the extension period shall be $[AMOUNT], due on the [DAY] of each month, payable by [METHOD]."

Step 6. Review security deposit terms 

If applicable‚ carry over or adjust the security deposit․ If a rent increase occurs‚ you might be able to charge an additional security deposit (depending on the legal limits in your state)․ Some states limit total deposits to one or two months' rent․

Example clause:

"The existing security deposit of $[AMOUNT] shall remain on deposit and carry over to the extension period unchanged. No additional deposit is required at this time."

Step 7. Add any amended terms 

List amendments to original lease conditions․ You may change the pet policy‚ parking terms additional inhabitants‚ utility obligations‚ and maintenance duties․ If you aren't changing anything lease as is․ 

Step 9. Signatures of all original parties, with dates 

Every person who signed the original lease must sign the extension and date it. As the extension is only signed when executed‚ its effective date is not the new start date․ Each party keeps a signed copy․

What happens if the lease expires without a signed extension

If no extension is signed prior to the lease end‚ one of two things occurs:

Month-to-month conversion: If a tenant continues to occupy the property and pay rent when due‚ and the landlord accepts rent‚ in most states the tenancy becomes month-to-month․ The lease is still in effect in all material aspects‚ but either party may terminate the lease with the other party's proper notice (often 30 days)․ The landlord will no longer automatically be able to lock the tenant into a new fixed term without another tenancy agreement․

Holdover tenancy: Depending on state law and the lease‚ the landlord can evict the holdover tenant‚ or can accept the holdover as a month-to-month tenant‚ possibly at a higher rent set forth in the holdover clause․

What this means for landlords: Month-to-month in a rent-controlled area‚ tenants have much stronger protections‚ plus your ability to plan with the property is severely restricted as either party can terminate the tenancy with 30 days' notice at any time․

Why it matters to tenants: A holdover exposes tenants to paying higher rent under the original lease's holdover clause or giving the landlord a basis for eviction․

The remedy is simple: sign the extension before the original lease expires․