Need to break your lease early after renting an apartment or home? Whether you’re considering ending a lease early due to a job change, issues with your landlord or building, or military deployment, it’s important to know your lease termination options. Here’s how to break your lease without penalty.
Understand Laws & Potential Penalties
When considering breaking your lease, it’s crucial to be aware of what can happen if you don’t follow the steps outlined in your lease termination clause or landlord agreement. Landlord-tenant laws vary depending on the state you live in, but you can usually find them with a bit of research.
Some valid reasons for breaking a lease without penalty or fees include constructive eviction, an unsafe environment, or being called to military service. If your motivation doesn’t fall within the protection of the law and you don’t give proper notice, you may be subject to the following legal and financial penalties:
- Negative impact on a credit report
- Negative impact on rental history
- Suing for breach of contract
If you follow the proper procedures for breaking your lease early, the worst case scenario is you may end up paying rent until a new tenant is found, paying a portion of your remaining rent upfront, or sacrificing your security deposit. The sooner you know you’ll be breaking your lease, the more time you’ll have to save the appropriate funds.
Check Your Lease
After understanding your options and the potential drawbacks of ending your lease early, take time to review your lease in detail. Many long-term leases include an early termination clause that outlines the notice tenants need to give the landlord, along with early termination fees, conditions for breaking a lease, and penalties for any violations of the clause. The lease termination clause gives you the option to terminate the remainder of your lease while ensuring the landlord is reimbursed for the time and money required to find a replacement tenant. Following the stipulations within this clause will help you break your lease without penalties or legal implications.
Speak With Your Landlord
If your lease doesn’t include a lease termination clause, you’ll need to negotiate the conditions for breaking your lease with your landlord. Start a conversation with them as early as possible. This doesn’t have to be your official notice of lease termination, but rather a simple conversation about your options. The sooner your landlord knows about your situation, the sooner they can be proactive in finding a new tenant to take over. If you have a great rental history and have paid rent on time consistently, the negotiation process should go fairly smoothly—but be sure to consult an attorney if you have any questions or concerns.
Give Advanced Written Notice
It’s typically best to provide a written notice to your landlord, at least 30 to 60 days in advance of moving out, that you plan to break your lease. In your notice, include a move-out date and your reasons for breaking your lease. Remember, it’s important for both you and your landlord to have written documentation of all conversations throughout this entire process. Having evidence that you’ve followed the proper process for breaking your lease is essential for your protection should legal issues arise, or in case your landlord attempts to change the terms you’ve agreed upon.
Review Your Lease Termination Offer
Once you give notice that you plan to terminate your lease, you’ll likely receive a lease termination offer from your landlord that includes your official move-out date and any early lease termination fees you’ll be expected to pay. Buying out a lease—or paying a lump sum of a few months’ worth of rent—is common. The agreement could also require you to simply continue paying rent until a new tenant is found. Review your lease termination offer to know what you and your landlord are obligated to do for each other to avoid legal penalties. At this point in the process, you might consider seeking legal advice to ensure you’ve been given fair terms and that you know exactly what you need to do to abide by the offer.
Help Find a Replacement Tenant
Offering to help your landlord find a new tenant is a kind gesture that can ultimately save you money and make it easier to break your lease. While a new tenant will likely still need to fill out an official application and undergo a credit check, helping your landlord find leads can make the process go quicker. See if you have any family members or friends looking for temporary housing, or try posting about the open space on social media.
Consider Subleasing
If options for breaking your lease don’t pan out, you might want to consider subleasing—or renting your apartment or home to another tenant. This would involve collecting rent from a subtenant and paying it to your landlord, allowing you to avoid the fees associated with breaking your lease. However, keep in mind that you’ll still be responsible for the lease even while the subtenant is paying rent. Some leases have restrictions against subleasing, so you’ll need to check your lease terms before going through with this option. And, as always, communicate with your landlord about your plans.
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