How to Break a Lease Without a Penalty: 6 Tips That Can Help

By Alicia Geigel on December 20, 2022

In the world of renting, there are many circumstances where things do not go as planned. While it definitely may not have been something you originally intended to do, breaking a lease can happen. Though you may feel that you don’t have much control in a situation when you have to deal with your landlord, there are several ways to handle breaking your lease and come to a reasonable agreement with your landlord. Here are six tips to help you along the way.

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1. Reference Your Lease Agreement: Prior to jumping into sending your landlord a text to have a proper sit-down talk, be sure to thoroughly review your lease agreement. Your lease agreement will include details regarding how to end a lease early and what kind of penalties doing so accrues. While looking through the agreement, be sure to keep an eye out for certain keywords, such as, “early release, sublet, and relet” (via Rent.Com), and make note of the pages these words appear on so you can easily reference them in a conversation with your landlord.

2. Weigh the Costs: A lease break can be a costly situation, so it is important to go over the costs of breaking the lease early with your tenant so they have a clear understanding of what it will take. Most times, there is no specific cost for breaking a lease, as it depends on local laws, the lease agreement, and the landlord/property manager’s discretion. Different costs can include an early termination fee, rent for the remaining months of the lease plus a security deposit, rent until the landlord finds a new tenant, or potential court costs depending on the situation. You will be responsible for these costs, again, and they will vary on your agreement, landlord discretion, and local laws.

3. Research Legal Reasons to Break Your Lease: Outside of personal situations, there are also a number of legal reasons that you can break your lease. By law, tenants are protected in certain circumstances, which allows you to break your lease early. According to Erin Eberlin of The Balance, “Tenants may be able to legally break a lease if the apartment violates habitability standards, if the landlord harasses the tenant, if the tenant receives a change in military station orders, if the tenant is a victim of domestic violence, or if the apartment is illegal.” If you are adding a checkmark to any of these boxes, you have the legal right to break your lease early, and without penalty.

4. Talk With Your Landlord: Once you’ve exhausted all of your options and done all of the research necessary, it is time to talk with your landlord. Approaching the conversation of breaking your lease with your landlord is not an easy one, but it is unfortunately necessary for all parties involved. While talking to your landlord, explain the reasoning for breaking the lease, such as a family emergency requiring you to move, a new job position, or financial problems. This is the time to be honest with your landlord about everything and anything you have gone through that has led you to this moment, which can perhaps help them view you in a better light and be more forgiving about terminating your lease early.

5. Compromise with Other Options: In most cases, landlords typically do not want to go through the process of tenants breaking a lease, as it can be inconvenient and even costly to deal with. When approaching your landlord about doing this, it may be a bit difficult to navigate the conversation at first, but if you are willing to compromise, they may be more willing to hear what you have to say. One way you can do this is by offering your security deposit to help offset the inconvenience of breaking the lease as well as the costs for your landlord of having to fill the vacant property quickly. If this is not something you can manage, talk to your landlord about subletting if you need to move. Subletting will fill your spot and allow you to do what you want!

6. Get All Important Agreements in Writing: In any kind of situation, especially in renting/real estate, you want to get all agreements and notices, both formal and informal, in writing. When you break your lease, getting the new agreement in writing can help to cover you in the case that there is a miscommunication or misunderstanding between you and your landlord, and your landlord wants to go to court. Sania Tran of Apartment List notes, “If you manage to break your lease without penalty, make sure to get all the details in writing. A simple misunderstanding between you and your landlord could escalate to a legal issue.”

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No matter how planned you are, life sometimes takes over and things do not go as you once intended them to. Whether you came across a better job opportunity in a new city or a family member’s health requires you to live nearby, there are a variety of reasons to break your lease. As you talk to your landlord and explore your options, remember to keep an open mind and compromise if needed.

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