When the lease is about to end, the lessee should decide whether he or she wants to continue leasing the property or move out. If the tenant wishes to stay, the landlord can agree to a “periodic tenancy,” in which the lessee pays rent for as long as he or she continues living on the property. Another option is to sign a new rental lease agreement in which both parties renegotiate and agree on a new lease period and other relevant terms and conditions. The lessor may increase the rent in such cases, so it is critical to have a clear discussion on the terms before signing the new rental agreement.
If the lessee decides to vacate the property on a scheduled date, he or she should notify the landlord at least a month or up to three months in advance, as agreed upon by the parties. With this type of proper notice, the deposit should be timely refunded, absent any other factors, such as damage to the property.