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Updated 9 months ago on . Most recent reply
![Mohit Arora's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/3028221/1716245087-avatar-mohita15.jpg?twic=v1/output=image/cover=128x128&v=2)
Tenant wants to break the lease before lease start date
I have rental property with signed lease (through Zillow) with starting lease date within a week. However the tenant is telling me they have personal issue and wants to move out of the lease or asking me options to break the contract.
I checked the lease created through Zillow that does not show up any option for reletting but what I am aware (done it few times when one of my other property was managed by a property manager) is tenant could pay reletting fees (typically one month rental) that allows property to be re-listed. Tenant will continue to pay for utilities and any difference (or loss in rental) if home is leased for lower monthly rent than current lease term.
I called Zillow and they told me they don't handle lease cancellation or changes but suggested to contact local attorney (I am in Texas/Austin).
a) Take some penality and allow tenant to break the lease.
b) take re-letting fees, list the house again and current tenant is bound to honor until it gets leased.
For both a) and b) I will still have to contact attorney as Zillow does not let me cancel the lease but only mark the lease cancelled once it is done.
I would prefer b) for obvious reasons but let me know if there are other options.
Appreciate any help/advice.
Thanks,
Mohit
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@Mohit Arora
Let’s also look at reality
Tenant doesn’t move in and then you have to “evict” a tenant not there and lose rent and try and collect something that doesn’t exist
Let them out of the lease, potentially keep the deposit and move on
This is why I also recommend a property manager - they typically will save you in the long run
- Chris Seveney
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