You have started your journey as the landlord and find the best from potential tenants, then you can feel amazed because the vacancy of the rental unit is going to over. But what happened if you get the early lease termination letter from your tenants after some days of their stay. Surely, it is not something that you are hoping for. There is no doubt that you both have signed a rental contract, and as per the same, the commitment from the tenant is there to stay for a fixed tenure. But life is not predictable and it can be possible that the renters have any emergency situation to walk away from the agreement. So, at the time, you get the notice of the lease termination; it is highly needed to understand the reason behind the same and the person should process it lawfully. Also, you don’t just forget to have the information about what to get from this unexpected situation; so that you can say goodbye to the related problems. Want to know more about it, then you just continue reading the below write-up.
The importance of having the lease agreement
Every landlord needs to understand the need for the lease agreement. When you are part of a contract legally, then it provides protection to you. The problems related to the rental unit can be more. You find the legal issues for processing the eviction, maintenance problems, and more, and at that time if you don’t have a well-written lease, then it can be enough to face the disaster. So, you should have an agreement where each term is mentioned along with the rights and responsibilities of the tenants and landlords. In any situation, you can’t ignore the same and can take assistance from the best of lease management companies to make it perfect. When the agreement will state clearly everything as per the state law, then the chances of facing any dispute will not be there in the future without any doubt.
What to mention in the lease agreement for the lease breaks?
The lease is the contract between you and the landlord. Through it, terms are fixed and when you both understand the same and sign on that, then you both become part of the legal agreement. Each one needs to follow the rules till the time the contract exists. When the renters give a sign on the lease agreement, then it means that for the tenure, he or she will stay there, and you get the rent for the same. Similarly, as a landlord, you need to be sure that the contract addresses what will happen if anyone does the lease termination and more.
At any time, you should not forget to state about in the lease termination what happened if anyone gives the lease termination letter before the time and it should have the information about the legal consequences that one can face in case of early termination. At the same time, you can allow the renters to give a letter to lease termination at any time with notice by mentioned the reasons behind the same. But here you remember that if you allow the tenants to break the lease for a job relocation or anything else, then you should add the penalty fee for it in the residential lease agreement.
When the tenants provide the notice of lease termination legally?
5 times the renters can do the lease termination legally, and these are:
- The tenant is on military duty and he or she gets the transfer order, then the right is there for the tenants to break the lease.
- Tenants are not getting the facilities that are promised to give or you are harassing the renters by not respecting the privacy of that person.
- If your tenant gives the reason for lease termination as he or she is sexually harassed or a victim of domestic violence, then he or she can break the lease and this is a legal reason.
- The safety is missing in the rental unit.
- The unit of yours has no legal existence.
The rights of the landlord in breaking a lease agreement
You as the landlord can do the same or not that will be known from the lease documents. So, you just review the terms again and process further.
When the landlord can legally break the lease?
As a landlord, if you need to break the lease, then you have that rights but this is conditional. You can’t just evict anyone from the property. You need to understand the lease terms and accordingly, you can take steps.
It is true that when you have good tenants, then there is no fruitfulness to break the contract because lease termination is not good for having perfect turnover profits. But there are situations when you just need to evict the tenants and that is the only path. In this circumstance, you just need to give the right reasons to terminate the lease, and you get permission to process further.
Let’s know about the situations when the landlord can break the lease.
Selling the property
If you are thinking of selling your property, then the landlord rights are there to terminate the lease. So, you just understand the market and find that selling with the tenants will be a problem for you or not. When you get the answer is yes, then you can process the eviction of the tenants before the setting and you have the right to do it.
Renovations or repairing
If your property needs renovations or repairing, then for the same, you need access to the property. For this reason, the landlords rights are there to break lease Maryland and show the way to moving out to the renters by terminating the lease.
You are thinking of moving back to your property, then you can’t just come. You need to give the notice of lease termination and when the renters will go out, then only, you start staying. So, as the landlord, you process lease termination and that to be as per law. You can take assistance from the lease management company as well for processing the termination and making you way back home smoother.
Illegal activities of the renters
When the tenant breaks the terms of the lease or creating damages to the property or doing any illegal thing, then termination can be processed. You can provide notice and this will be enough to remove the renters from your property. If it doesn’t work, then a formal eviction can be done.
What are the duties of the landlord when lease termination is processed?
You are the owner of the property, so you need to carry the responsibilities as well when he or she is breaking lease in MD. As tenants and landlords rights are there, similarly both have the responsibilities.
Firstly, you need to be sure that your property is habitable, safe for your renters. As providing the same will be the responsibility of yours as the landlord and along with the same, the tenants should have the right to enjoy a peaceful life there. When you are able to provide these rightfully, then as the landlord, you can claim that you take care of your responsibilities perfectly.
After taking care of the same, if you find that the renters still process the lease break, then give time to them, try to know what the renters have issues and resolve that quickly so that the person changes the mind and you have them for the fixed tenure as per the contract. But still, you find that the renters are moving out, then you need to find the new tenants for your property.
How to regain costs?
When the tenants are breaking lease in Maryland and give the notice in writing, then you can’t just let the things go. You need to take action as the landlord. The first thing that knocks in your mind is finding the right renters for the property. But it needs time. Along with the same, there are few ways to recover the losses that you have for the early termination. Want to know the options for the same, then these are as below:
- When the renters are breaking the lease, then as the landlord, you need to find the new tenant. But till the time, you are not getting the right tenants;you can ask the person to pay the rent as he or she breaks the lease and moves out before the time. This way, you can recoup the losses. So, you just add it to the agreement to recover the loss.
- You can think about the option like lease buy-out fee and so that you can recover the loss that you need to face for the early termination of the agreement. When you add this in your rental agreement, then it means that your tenant can take the freedom from the responsibility of the remaining portions of rental lease agreements at any time. Also, as the landlord, you get the extra money that allows you to cover a few months’ vacancies.
What mistakes landlords should avoid when lease termination letter is there?
Lease termination is a sudden thing but still, you need to take care of a few things for having safety from future problems. Want to know about the same, then these are as follows:
- It can be possible that when you get the notice of early termination letter, you find the proposal letter as well, and through the same, you may get an offer from the person that he or she will find the right renters for the place so that you don’t have the vacancy. This is really good to hear but in any situation, you should not allow the tenants to do any commitments on behalf of you or do any contract on behalf of you. So, you take care of it and stop yourself from doing anything wrong.
- If you are thinking to use the security deposit for recovering the loss of not having the rents, then simply stop yourself from doing this. You need to evaluate the losses as a whole so that you can estimate how much amount you need to recover and then sit with them to have that amount back. This way, you can fix the issues, and you will find the right amount in your pocket.
Well, from the above write-up, this is clear that the written lease agreement can only protect you from this. So, you just make it done perfectly and mentioned everything in rent lease agreements. You can think to take the help of an experienced property management services firm as well for drafting the right rental agreement and managing all to have the protection for your investment.