Breaking a lease

T

tez

Hi all,

Im just half way through a 6 month lease (2nd 6 month lease on this place) and will be moving out early as my new home will be ready at the end of the month :)

The current lease is due to expire on 19th April.

In the agreement, there is a break lease fee of 4 weeks. As I understand, this is the maximum I will be paying for breaking the lease.

If a new tenant is found in the meantime with minimal "vacancy" would the agent just charge the rent up until the tenant moves in plus other additionals? Or is this completely up to the agent as to whether they will "minimise" my break fees?
 
you have agreed to pay a break fee of 4 weeks. The agent is under no obligation to charge you any less but cannot charge you any more. This is on top of being paid up to the day that you vacate.
 
Talking about breaking a lease here may upset a lot of the regulars

It's possible that you could be renting from someone that posts here regulary and if you are then it's highly likely we will here about it soon enough.

It's also possible that if you have rented from someone on this forum and you don't leave the place so clean you could eat off the walls and toilet bowl there will be a very lengthy and emotional thread written in very exact detail about it. This thread will no doubt snow ball into a avalanche of wild furious emotions which will escalate into full blown forum warfare and many tears will be shed and keyboards will be Broken. Many regular forumers will write hour long essays on how badly the whole process was handled and how it should of been dealt with if they were in charge , a lawyer will no doubt correct all the legal ins and outs, a successful commercial investor will write how everyone is wrong and compare the ordeal to probably something like roasting nuts on a motorbike engine, a really nice old guy will delete all the profanities, a highly successful Perth developer will not get involved, and a guy with a strange avatar will post a photo of something related humorously about something that someone had said about something.
Hope this helps
 
We broke our lease late last year as we bought a place. We allowed to agent to do inspections prior to our departure hoping they would find a new tenant early. Landlord had no intention of taking on another tenant til our month was up. Made the excuse that no suitable applications were made yet a tenant was found within days of our lease break terms ending.

Just give the notice and save yourself the trouble of holding opens while you are moving out.
 
mikezen said:
Talking about breaking a lease here may upset a lot of the regulars
Click to expand...

Not me. My parent's tenant just broke their lease in Melbs. The tenant was happy to pay advertising for a new tenant and the property got listed at a higher rent (rents have gone up in the area). Place was leased from the day after the old tenant left so there is no lost rent from a vacancy. Win, win, win... everyone's happy :D
 
Interesting. I spoke to my agent today who advised my break costs are:

1 week letting fee, advertising costs, lease prep fee plus any rent until a new tenant is found. Although in my lease it mentions the break lease fee.

I have asked the agent which one would apply.
 
if you are in NSW and a break lease fee is stated in the lease then that is what you pay, nothing more nothing less.
 
tez said:
Interesting. I spoke to my agent today who advised my break costs are:

1 week letting fee, advertising costs, lease prep fee plus any rent until a new tenant is found. Although in my lease it mentions the break lease fee.

I have asked the agent which one would apply.
Click to expand...

The agent hasn't read the lease or doesn't know/hasn't been properly trained regarding the RTA 2010.
 
Nope quite aware of it as the break lease fee has been mentioned but also now agreed to reduce advertising costs + lease prep fee.

Still keep asking if its just break lease fee, or the advertising costs plus any rent up until a tenant takes over. Cant get a clear answer so still up in the air.

I guess worst case is break lease fee, no more, no less

Trying to reduce it if possible though
 
From an owner's perspective, I would be dissed with my PM if they were charging the tenant less than the amount allowed in the lease, they are doing themselves an injustice as well, cutting themselves out of commission.
 
tez said:
Nope quite aware of it as the break lease fee has been mentioned but also now agreed to reduce advertising costs + lease prep fee.

Still keep asking if its just break lease fee, or the advertising costs plus any rent up until a tenant takes over. Cant get a clear answer so still up in the air.

I guess worst case is break lease fee, no more, no less

Trying to reduce it if possible though
Click to expand...

If the break fee is in the lease there is no provision for the agent to charge you the other fees. The whole point of the break lease fee is to make a break lease a known and fixed cost.

You pay your four weeks and leave the property and it doesnt matter if the agent takes 6 months to find another tenant you do not owe any more. Conversely if the agent gets another tenant in the next day then the landlord ends up better off.
 
Still confused as ever. Got a invoice today for a break lease fee which does not equal 4 weeks rent. What are my choices here
 
tez said:
Still confused as ever. Got a invoice today for a break lease fee which does not equal 4 weeks rent. What are my choices here
Click to expand...

Is it more or less? If it is more than the 4 weeks tell the agent to go and reread the laws that dictate their chosen profession and come back to you :)
 
What does your lease say on the break fee? The lease should say a maximum of 6 weeks (or something along those lines).

Even if you pay your rent monthly (which cannot legally be asked but only offered by the tenant), then you are only liable for 6 weeks (or whatever) of rent. eg $1200 per month = $14400 pa/365 days x 7 days
 
mikezen said:
, and a guy with a strange avatar will post a photo of something related humorously about something that someone had said about something.
Hope this helps
Click to expand...

...wait...what? Oh I see what you did there! :rolleyes:
ohoq9.jpg
 
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