Setting Expectations During the Break Lease Process

Our team at RED Assist receive many calls every week about disputes because Tenants are breaking their lease. Many of these disputes could be reduced or eliminated completely by setting the expectations to all parties concerned, right from the Tenants first indication that they are wishing to end their Tenancy Agreement early.

As soon as you receive notice from the Tenant that they wish to vacate the property, you should contact the Tenant to inform them of their obligations and what paperwork is required to be completed. A good way to do this is to get them into the office to have a chat, so that you can go through everything face to face. If this is not possible, you should send them an email, and also call them to discuss.

At the meeting you should discuss;

  • How much it will cost the Tenant – i.e. re-let fee, advertising etc
  • What the Agency will do in terms of advertising, inspections and keeping the Tenant informed
  • When inspection times are suitable for the Tenant, and what the Tenant should do to present the property at its best
  • What the current market is like, and how long you expect it will take to find a new Tenant for the property
  • How much rent / compensation the Tenant will likely have to pay
  • What the Tenants responsibilities are regarding the property if they move out prior to a new Tenant moving in eg mowing the lawn, pool maintenance, keeping the property clean etc
  • The Agreement to End Fixed Term Tenancy should be signed by all Tenants and the Agent, and a copy should be given to the Tenant

The Landlord should be informed of the Tenants decision to vacate the property, and instructions confirmed in writing with regards to re-letting the property.
Once the property is advertised, both the Tenant and the Landlord should be kept updated with results of inspections and any applications, however it is advisable to only tell Tenants about the applications that look promising.

If the Tenant is informed right from the beginning what the process will be, and open communication occurs with all parties, there should be no disputes as all involved will be aware of the status at every stage.

If you need advice, please call RED Assist on 1300 734 596. We would be delighted to help!

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