It's time to look at all your options to ending your lease early when renting in order to gear up to buy your new home!!
With rent rising, more and more renters are consider getting out of their leases early in order to start their home purchase process.
In many cases, Landlords are very accommodating when allowing early move-out prior to your lease expiration. Even in the case that your landlord may not be the most accommodating, you can still depart with a minimal penalty.
The desire to end a lease term early can be driven by life events such as; relocation of a job, change in relationship status, birth of child. But, even if it’s as simple as just wanting to own a home, much of your ability to end your lease is dependent on the terms of early termination of your lease.
If your landlord has more than one property and is managed by a Property Manager, it will be up to the Property Manager to make the final decision. Keep in mind there are no hard fast rules on early termination. In many cases it will be dictated by your landlord or the terms of your lease agreement
There are several alternatives then causing drama with your Property Manager or Landlord. You can post a Sub-Lease wanted ad to see if you can find someone who would be open to taking over the remaining months of your lease. With a sublet, you are responsible for finding a replacement, but the lease remains in your name. And, the substitute usually must be just as qualified as you. You can also reach out to your Property Manager if you live within a complex to see if there is a waiting list to see if they could open up your rental to anyone interested in immediate occupancy.
In many cases the level of understanding a Property Manager or Landlord may have, is dependent on the current rental market. The more vacancies the less understanding a landlord may be for fear of losing a paying tenant.
Some lease have a “home-buying clause,” which would allow you the ability to opt out early from your lease with a financial penalty. Details of the fee and timing constraints would be noted in your lease agreement. It is ALWAYS important to keep your Landlord or Property Manager informed of any decisions you may make related to your lease. Keep in mind a lease is legally binding agreement and cannot be altered unless agreed upon between all parties of that agreement. Moving out in the middle of the night is never an option J. Doing anything that could lead to financial damage to the landlord or property could lead to a law suit which could be your remaining rental term rental payments at market price plus cost of cleanup and repair, ultimately forfeiting your deposit.
Honesty is always the best policy. Some landlords or communities allow you to pay a “relet fee.” This is a fee which would cover the cost of cleaning, repainting and repair to re-market the property for a new tenant. This fee may include rental payments until the property has secured a new tenant.
Ultimately, it is your decision on how you would like to proceed, but you now can be armed with information to determine your best approach. Buying a home and moving come with their own stress. Don’t add to your stress by not closing out your lease the right way!!!