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Month-to-month rental agreements offer flexibility for both landlords and tenants, allowing for automatic renewal each month unless one party provides written notice to terminate. This type of lease, also known as tenancy at will, permits landlords to evict tenants at any time, provided they follow state laws. While month-to-month arrangements can be advantageous, they come with certain drawbacks. The video tutorial discusses points to consider before opting for this lease type and outlines essential elements to include when drafting a month-to-month lease agreement. It also highlights similarities between month-to-month rentals and standard leases in terms of moving in, eviction procedures, and adherence to local regulations.