If landlords or their tenants can’t commit to a long-term tenancy, consider using a Montana month-to-month lease agreement instead. In this case, landlords create a flexible, short-term agreement with their “tenants-at-will.” The lease renews each month automatically, but either party can terminate it at any time.
Beyond the extra leeway, landlords still need to comply with the Treasure State’s laws governing month-to-month leases. In this guide, we’ll cover mandatory disclosures, rental laws, and best practices. We also include a free downloadable template to streamline the process.
Disclosures (5)
Every Montana month-to-month lease agreement must contain the following five disclosures:
- Lead-based paint: Tell tenants about the presence of lead-based paint and related hazards if their home was built before 1978 (42 U.S.C. § 4852d).
- Mold disclosure: Include a clause explaining that landlords have no prior knowledge of mold presence on the property and that the tenant agrees to the statement (Mont. Code § 70-16-702).
- Methamphetamine contamination: If anyone has used or manufactured methamphetamine on the premises, landlords must inform tenants until landlords professionally clean the property (Mont. Code § 75-10-1305).
- Move-in inspection checklist: Give tenants a move-in checklist documenting the property’s existing condition. Additionally, tenants must inspect the property and sign the checklist (Mont. Code § 70-25-206).
- Landlord information: Include the landlord or property manager’s full legal name and address (Mont. Code § 70-24-301).
Optional Disclosures and Addenda
Go the extra mile by adding the following to their month-to-month rental agreement in this corner of the Northwest.
Asbestos: Tell tenants about asbestos-related hazards and share safety tips to limit their exposure.
Bed bugs: If landlords know of or suspect a bed bug infestation in the unit or in surrounding units, inform tenants.
Late/returned check fees: Explain their fees for late rent payments or returned checks. Montana law doesn’t cap late-payment fees, but it does limit returned-check fees to $30 (Mont. Code § 27-1-717).
Medical marijuana use: Cover any restrictions and rules for tenants to keep in mind.
Non-refundable fees: If landlords collect non-refundable fees, tell tenants in advance to avoid misunderstandings.
Shared utilities: Outline how landlords split utility costs for units on the same meter.
Smoking policy: Explain their house rules on smoking and identify any designated smoking areas.
Additional Montana Month-to-Month Lease Laws
After their tenants move in, state law continues to govern the tenancy. From termination notice requirements to entry rules and rent increase regulations, here’s a quick review of the laws that impact their Montana month-to-month lease agreement.
Notice to Terminate a Month-to-Month Agreement
Both parties can terminate the agreement, but Montana law sets different notice requirements for tenants and landlords. Here’s what landlords need to know:
Required notice for tenant: State law requires tenants to provide at least 30 days’ written notice to end the lease (Mont. Code § 70-24-441).
Required notice for the landlord: Rental owners must give tenants 15 days’ written notice to end a tenancy at will agreement (Mont. Code § 70-24-441).
Laws Governing Rent Increases
Landlords can increase rent for their Montana month-to-month lease agreement by giving proper notice. Here’s how it works:
State law requires landlords to give tenants 15 days’ written notice before updating the agreement’s terms. Once landlords notify tenants, their new terms take effect at the end of the current month (Mont. Code § 70-26-109).
Lease Violations and Eviction
If someone breaks the lease, Montana law governs the next steps for pursuing eviction or terminating the agreement. Keep the following rules in mind:
Missed rent payment: Landlords can send tenants a 3-Day Notice to Pay or Quit in writing before initiating the eviction process (Mont. Code § 70-24-422).
Lease violation: Landlords can give tenants a written Notice to Cure or Quit that explains the violation and sets a deadline to resolve the issue. State law requires different time periods depending on the violation, including:
- 3 days for unauthorized pets or residents.
- 14 days for issues the law doesn’t specifically cover (Mont. Code § 70-24-422).
Lease abandonment: Landlords must wait 48 hours before repossessing the residential unit and removing their items (Mont. Code § 70-24-430).
Self-help evictions: Montana law strictly prohibits landlords from forcing tenants out of the property or using any self-help eviction methods, including lock-outs or shutting off utilities.
Rent Payment Laws
Some states have strict rent laws, but Montana does not. Here’s what landlords need to know:
Rent control/stabilization: Montana doesn’t have rent control or stabilization laws.
Late rent fees: The state doesn’t cap them either.
Grace period: Landlords in Montana don’t have to offer a grace period. If they choose to, they can add the terms to their rental agreement.
Tenant’s right to withhold rent: If landlords fail to maintain a safe, habitable living environment, tenants can use the state’s legal repair and deduct remedy for up to 1 month’s rent (Mont. Code § 70-24-406).
Pet rent laws: State law doesn’t regulate pet rent. However, federal law prohibits landlords from charging fees for service or Emotional Support Animals (ESAs) (42 U.S.C. § 3601 et seq.).
Security Deposits
Similar to the state’s rent policies, Montana doesn’t regulate security deposits as strictly as other places do.
Maximum amount: Montana doesn’t cap security deposits.
Deposit receipt: State law also doesn’t mandate receipts.
Interest payments: Landlords don’t have to hold the deposit in an interest-bearing account or pay tenants the accrued interest on the balance.
Security deposit return: Landlords must return the tenant’s security deposit and deduction list within 30 days after the lease ends (Mont. Code § 70-25-202).
Deductions: Landlords must give tenants an itemized list of deductions within 30 days (Mont. Code § 70-25-202).
Property Access Laws
Outside of emergencies, landlords may enter a tenant’s property only by following the state’s notice protocols. Here’s how it works:
Advance notice: Give tenants at least 24 hours’ advance notice before entering their unit. Additionally, landlords may request entry only during reasonable hours (Mont. Code § 70-24-312).
Immediate access: Landlords can only enter the home or apartment without notifying the tenant in extreme emergencies, such as fires or gas leaks (Mont. Code § 70-24-312).
Harassment: State law specifically prohibits landlords from harassing tenants by abusing their right of entry. Landlords can’t enter a tenant’s unit without their permission or a legitimate reason to do so (Mont. Code § 70-24-410).
Keep these rules in mind to create a compliant, complete Montana month-to-month lease agreement and prevent disputes.
