How to Break a Lease

This article, "How to Break a Lease," was originally published on the  Apartments.com Renterverse in 2019.

Life is unpredictable. You signed your year-long lease with every intention of staying put, but now you find yourself in the position of having to break your lease. It can be possible to get out of a lease responsibly, but as with any contract, you may face some consequences for breaking it. Here is what to know about breaking a lease.

Look at it from your landlord’s perspective. It is expensive to ready a property, list it, and have it sit empty while trying to find the right tenant. When you break the lease, your landlord has to start the process all over again, much sooner than anticipated.

Before breaking your lease, make sure you have considered your options carefully. When you signed the lease, you agreed to pay the entire amount for the term of the lease, even though it is broken up into monthly payments. That means that you could be obligated to pay the remaining amount left on the lease.

If it isn’t imperative that you move immediately, consider holding off until your lease is up. Breaking your lease is not only expensive, but it could also damage your credit if unpaid fees are involved. It may even show up on a tenant screening report, making it more difficult to rent in the future.

Don’t assume that your security deposit covers your last month’s rent. The security deposit covers damages to the apartment and any missed rent payments or unpaid late fees. You’ll still have to pay at least the final month’s rent, and it’s possible you could be held responsible for the cost of re-listing and advertising the rental as well.

Your lease agreement may have a clause about breaking the lease. Often called an early termination clause, this section of your lease outlines what will happen if either party chooses to end the lease early. Depending on state laws and requirements, these clauses vary. It’s possible your lease doesn’t include this clause, but if it does, it outlines exactly how to break your lease early and what fees are involved.

The early termination clause may specify the written notice to be given. This is sometimes 30 or 60 days in advance. It will also state the amount you will be held responsible for, and this amount ranges from two months’ rent to the remaining months’ rent left on the lease.

Some situations make breaking the lease unavoidable, such as being called to active military duty. If this is the case, you are likely protected by the Servicemembers Civil Relief Act and you won’t have to pay penalties for breaking your lease. Other circumstances may also be covered, such as domestic violence or a disaster that makes your apartment uninhabitable. If you think your situation might be covered, contact a real estate lawyer and find out.

Explain your situation and see what options you have. Your landlord may be willing to work with you. For example, if you are being sent out of state by your employer for several months, perhaps your landlord would be willing to consider letting you sublet your apartment until you return. Or if you must leave to tend to a sick relative, perhaps you can work out a compromise on the required termination fees. Your landlord may consider waiving the termination fees if you find a suitable renter to take over your lease.

Don’t take matters into your own hands – be sure to discuss all options with your landlord. For example, many leases forbid subletting. If you do this without your landlord’s permission, you are in violation of your lease agreement.

After talking to your landlord and determining what the next steps will be, your landlord may write up an agreement. If not, ask for one. You will want this signed and dated. This protects both you and your landlord from any difficulties that could arise from a misunderstanding of what you discussed.

If you must break your lease, be sure to do so responsibly. Talk to your landlord, explain the situation, and be prepared to pay the fees associated with breaking your lease. Your landlord will likely give you some options, and hopefully you’ll be able to part ways amicably.

Published July 13, 2019