Breaking rental agreement

[Matt Roberts]

I have a tenant who wants to leave before the rental agreement term is up. His housemates have someone new lined up to replace him but he is still breaking the lease. Should I keep his deposit?

[Leland Barrow]

My only concern is that you say "his housemates". Are you picking your tenants or are they? Is the new applicant filling out a credit app and going through your process? If you are having to take time to process a new tenant then that equates to money. If you work for free then give him his deposit back. If you don't work for free then keep part or all of the deposit and fully explain to the outgoing tenant that it costs you time and money to process a new tenant. Personally I don't work for free, especially when there is a written agreement in place to help ensure that I don't end up working for free.