Lease renewal letters go unanswered more often than landlords expect, usually because the letter asks for a decision without giving the tenant what they need to make it. A letter that gets a reply contains four things. This page is those four, and the reason the fourth one matters more than the first three put together.
The offer, stated as a complete proposition
The new term with its dates, the rent for that term and when it starts, and anything else changing. A letter saying the rent will increase and inviting the tenant to get in touch is not an offer, it is the start of a negotiation the tenant did not ask for. Give them something they can say yes to in one line, because most of them want to.
A deadline that leaves everyone options
A date by which you would like an answer, far enough ahead that if the answer is no you can still market the unit and if it is yes nobody has been rushed. Around ninety days before expiry for a residential tenancy. A deadline inside a fortnight reads as pressure and produces worse decisions on both sides.
What happens if they do nothing
Say it plainly: the tenancy ends on the expiry date, or continues month to month under your state's default rules at a stated rent. Tenants frequently do not know which, and a letter that leaves it unsaid invites the inertia that produces a tenancy nobody chose. This sentence also prompts the reply the rest of the letter asked for.
The tone, which decides the outcome
A renewal letter is the one piece of correspondence most tenants read closely, and it sets the relationship for another year. Thanking a good tenant, saying why the rent is what it is, and being specific costs nothing and materially changes the response rate. A form letter that could have been sent to anybody gets the engagement it advertises.
Questions people ask about lease renewal letters
Should a renewal letter be posted or emailed?
However your lease says notices are given, and it is worth sending both ways when the deadline matters. Keep a copy with the tenancy either way.
How far ahead should it go out?
Around ninety days before expiry for most residential tenancies, earlier if your state requires longer notice of a rent change.
What if the tenant wants to negotiate?
That is a normal response to a complete offer, and it is a better position than silence. Knowing your turnover cost in advance tells you how much room you actually have.