Tenant wanting to break their lease

Tenant wanting to break their lease

Rental Property Investor · Member since 2019 · 4 posts · 3 votes

For a friend but it’s easier to tell a story In the first person.

TLDR: My tenant is wanting to break the lease 2 month early. Are they contractually obligated pay for those two months?

Moved to another state temporarily and while I was gone I leased out my home for the year. The tenants knew I might not renew the lease after a year and and so they started looking for another place when I officially told them I was coming back. They found a place they love and are wanting to break the lease two months early. I know in most instances the landlord would keep the security deposit, but I have people telling me that they are contractually obligated to pay for the whole year. I hadn’t heard that before and wanted to hear from other random people on the Internet what they thought. Is that something I can do, and do most LL just keep the security deposit because it’s easier?

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  • Alecia LovelessPro Member
    Member since 2019 · 3k+ posts · 2k+ votes
    4y

    @Brandon Bell I’m not sure what’s legal in your state but you if it is legal to just keep the security deposit as last month rent that’s what I’d do and move on and not be a jerk. Sometimes taking the high road is better.

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    4y

    Generally, the law allows you to hold them responsible for the full term of the contract. However, the law also requires you to make a "good faith effort" to find a replacement renter and minimize the damages charged to the previous renter.

    Because you are moving in, you can't market and find a replacement renter. You can't uphold what the law requires, therefore you can't hold the departing tenant fully accountable.

    Talk to your tenant and negotiate a compromise. They are leaving two months early which will cost you $XXXX in lost income. Talk to them about splitting the difference or whatever you both feel is fair. Put your agreement in writing, collect the fee, and let them go.

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