Seeking Advice: Tenant Wants to Terminate Lease Due to Mold Issue

[Samuel Guan]

Hi everyone,

I'm new to this forum and seeking some advice on a situation I'm facing with my rental property. Recently, my property manager informed me that a tenant's attorney contacted them, expressing the tenant's desire to terminate the lease due to a mold smell in one of the rooms. The tenant is concerned about their child's health.

My property manager suggested allowing the tenant to break the lease without penalty or offering whatever they request at this moment to avoid potential litigation. The plan is to conduct mold inspection and remediation after the tenant moves out and then re-rent the property. However, I have some concerns about the potential costs involved in mold remediation, especially if it requires tearing up drywall.

I'm considering whether I should inform my insurance company to see if they can cover the damage. However, my property manager advised against it, as it might inconvenience the tenant further, who has already refused access to the property at this time.

I'm also wondering if I should contact lawyer to understand any potential legal liabilities, particularly regarding the possibility of a lawsuit from the tenant even after they move out.

Any insights or advice on how to navigate this situation would be greatly appreciated. 

[Lynn McGeein]

@Samuel Guan are you saying that your tenant is refusing access to the property? I’d make sure management got that in writing from the tenant as they must allow access with proper notice so they’re likely violating lease. I don’t think notice is even required if they are the ones giving you notice of problem that needs to be addressed, and if they’re really concerned about mold, you’d think they’d want evaluation asap. I’m not a lawyer, no legal advice, but if a tenant complained of mold, I’d schedule a mold inspection, giving proper notice to tenant for entry, and if the results show it, get estimates for remediation. You’d likely need to do that before you market it again, anyway, so why not start now? Id be there to ask the inspector questions, see it for myself. Then talk to a lawyer about next steps. Could they sue even if you let them leave, even though you knew nothing about mold? If no mold found, are they breaking the lease? Can lawyer provide you with an early termination agreement where they release you from liability? I wouldn’t discuss with tenant until I knew best options available to me. I think most insurance companies won’t cover long-term damage like conditions that promote mold, so read your policy thoroughly before contacting them.