As it is a legal contract, you must make sure all the details in your final month-to-month agreement conform to the laws of your state. You cannot insert conditions that would contravene property legislation in your local area or at a federal level.
Some key terms that would invalidate your lease agreement include the following:
A Non-Refundable Security Deposit
Security deposits can only be collected as a guarantee against any damages or non-payment of rent. You must return the sum at the end of the tenancy unless you’ve deducted costs.
Charging Penalties Instead of Fees
Technically speaking you may not legally charge tenants penalties. However, you may charge fees that recoup any losses. Any fees you impose for contraventions such as late payment or damages must be stated clearly up front in the lease agreement.
Forcing the Tenant to Manage Property Maintenance
It is the solely the landlord’s responsibility to perform property maintenance or hire contractors for repair work. This cost and responsibility cannot be passed onto the tenant and any contractual terms that explicitly state this requirement can’t be enforced.
Terms That Opt Out of Health Code Requirements
You cannot get the tenant to sign a contract that waives their rights to live in a property that is safe and habitable. Each state sets heath codes that must be met by law before a residential unit can be occupied no matter what is stated in the agreement.