Statistics show that 91 of the 100 largest U.S. cities have increased the cost of rent in the past year.
This increase could wreak havoc on those with a fixed income and make it impossible for someone to continue renting at your current location.
How can you end a lease early? What are your options for tenants that cannot make payments or refuse to make payments? What is the first step in this process?
Keep reading to learn about the steps involved in writing a lease termination letter.
1. Find Who to Send the Lease Termination Letter To
While the letter is going to the tenant, it is important to figure out whether that is one person or everyone that lives within the property. Accurate information is key when going about the legal processes, such as a lease termination.
2. Share Your Reason
Have the tenants consistently missed rent payments? Are the noise complaints adding up? Have they caused damage to the rental property?
Clearly stating your reasoning for terminating the lease early should be the first point that is addressed in the letter. People will want to know why they are receiving the letter and this section of it will clearly answer that.
3. Set Up an Inspection
Getting a date on the calendar that works for you and the tenant to do a walk-through of the current property is the next step in the process. This sets up the expectation that you will be evaluating the property with them and speeds up the process of them moving out.
Being strict on the dates for the inspection is important because if the tenant does not want to leave, they will continue to delay this aspect of the process.
4. Discuss Security Deposit
It is common to require a security deposit at the start of a rental period. This helps you and the tenant be on the same page about potential damages to the property. The understanding is that they will not receive this money back if you find damages that were not there when the rental timeframe began.
In the letter, communicate when they can expect to see
5. Avoid Promises
It is important to not guarantee any specific accommodations in this process with your tenant. Promising a flexible move date or the ability to refund their full security deposit can be an issue if you are not able to uphold your end of the agreement.
By avoiding making promises, you can manage expectations and keep you and the tenant on the same page throughout the process.
Start Writing Today
Now that you have learned the steps involved in writing a lease termination letter, you can begin the process today. Please contact us if you have any questions about how to handle this situation with your tenant and what your options are moving forward. Check out our blog for more helpful property management articles like this one.
