Although you sign a rental agreement with every intention of seeing it through, there may come a time when you must break a lease. Whether you have a job or lifestyle change or another unforeseen circumstance arises, sometimes you need to move out prior to the end of the lease. While this usually incurs penalties, there are some specific situations where you can legally break your lease. There are also other possible ways to get out of a lease without incurring penalties.
What is a lease?
A lease is a contractual obligation between a landlord and a renter for a specific time period. Apartment leases are often one-year agreements. During the timeframe of the lease, the landlord can’t change the terms of the agreement, raise the rent, or force the renter to move out unless they violate the terms of the contract. The renter’s obligation is to pay the rent for the full term of the lease and maintain the property according to the specifications in the agreement.
What is the penalty for breaking a lease?
Breaking a lease can cost thousands of dollars in penalties, which depend upon the specific terms of the contract. Before deciding to break your lease, read it carefully to understand what the penalties are for your particular agreement.
These are some of the potential penalties and repercussions for breaking a lease:
- Some leases specify a flat early termination fee. The most you may be responsible for is the total rent amount for the rest of your lease, unless you moved out and left damage to the property
- You may be liable to pay the full rent amount until a new renter moves in, even if you’ve vacated the premises
- You may forfeit your security deposit, which the landlord can keep to recoup unpaid rent
- The landlord may turn your lease over to a collection agency or even take you to small claims court for unpaid rent
- If the landlord reports to the credit agencies, it may show up as a derogatory mark on your credit report
- If it’s reported on your credit report, it might make it difficult for you to get a lease later on
The terms of breaking your lease depend upon your landlord’s leniency. If your circumstances for terminating the lease are legitimate and you communicate and cooperate with your landlord, they may be willing to negotiate terms that allow you to move out early.
Situations Where You Can Break a Lease Without Penalty
There are several situations where a renter can legally break a lease without being subject to penalties:
- Violation of privacy rights: Landlords must provide renters with notice of intent to enter the apartment before coming over, have cause to enter (such as to conduct maintenance or an inspection), and can’t harass renters. If these rights are violated, a renter can legally break a lease
- Military deployment: Entering active military service allows you to break a lease under federal law
- Domestic violence: Depending on state laws, victims of domestic abuse may be able to terminate a lease early
- Nuisance: The landlord is responsible to stop excessive noise or extremely disruptive behaviors by neighbors
- Unsafe or uninhabitable living space: If the landlord doesn’t maintain the property in a livable condition, such as plumbing doesn’t work or the roof leaks, a renter can break the lease
Be aware that if you experience any of these circumstances, courts may require you to submit documentation and evidence to legally justify breaking the lease.
How to Avoid Breaking a Lease
You may be able to get out of a lease by paying an early termination fee. For instance, a termination fee of one to three months of rent might allow you to break the lease early. You can check your lease to see if it specifies an early termination fee.
If the terms of your lease allow for a lease transfer or sublet, you may also be able to find a replacement renter to take over your lease ou sublet your apartment. With a lease transfer, it transfers to the new renter and you’re no longer on the lease. Subletting keeps your name on the lease while the new renter moves in. They must still follow the terms of the rental agreement and you’ll be liable for the condition of the unit at the end of the lease term.
If you choose to sublet, let your landlord know of the circumstances.
How to Break a Lease Without Incurring a Penalty
When you realize that you may have to break your lease, your first step is to review it and understand the penalties of breaking the contract. Next, talk to your landlord to discuss your options. They might be understanding of your circumstances, especially if you’ve been a good renter and have a legitimate reason for moving early. Being polite, honest, and respectful with your landlord is very important at this time.
Most leases require renters to give a 30-day written notice prior to vacating. It’s important to follow the guidelines in the lease as closely as possible. You’re still responsible for rent until the end of your contractual agreement unless your landlord agrees to cancel the contract. Helping your landlord find a replacement renter may be an acceptable solution.
When you realize you may have to break your lease, it’s important to be proactive and take action right away. Review your lease carefully and carefully follow any move-out requirements, such as cleaning the apartment thoroughly. Contact your landlord as early as possible and take whatever actions you can to break your lease without incurring a penalty.
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