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A large percentage of Orange County Property Managers aren’t satisfied when tenants break a lease early. A majority of leases are about one year, but sometimes, unfortunately a renter will ask to break their lease early. There’s an assortment of reasons why a renter would do just that.

A job transfer or reduction of one, health complications, breakups/divorce, the list can go on and on. State and federal laws do vary, depending on where you reside you may have no other option but to let the renter out of their lease.

Orange County Property Managers Do Right

There are some instances where Orange County Property Managers may offer access to certain exceptions because you are business is not likely to collect rent debt, next move is to immediately fill the vacancy, or you’d just prefer to preserve a fantastic relationship.

A handful of Orange County Property Managers will tell you that it’s just the perfect thing to do.

Orange County Property Management Breaking The Lease

When Orange County Property Managers have to make the decision on breaking the lease, it’s pivotal to review business policies to ensure that the impact is minimal, communication is crucial, and expectations must be managed for both renters and staff.

Orange County Property Management Companies will say that a lease is a binding contract, Orange County Property Management companies have the right to enforce it.

Three Common Strategies Orange County Property Managers Use:

No Exit Strategy

Some Orange County Property Managers don’t allow tenants to break a lease unless they have a legal exclusion. In this particular case, a strategy to accumulate debt is implemented. This includes the business’ accounts receivable process, a third party collection company, and maybe even legal action.

Orange County Property Managers find that certain tenants won’t be motivated to care the device if they understand they’re going to lose the deposit and get chased down for rent.

Great Compromise Strategy

Orange County Property Management Companies say that in certain areas, you can’t maintain collecting rent if the property is rented again. If the tenant communicated early, it is best to hold in writing to only have the renter accountable for rent due until another tenant is found.

This sometimes will encourage them to leave the property looking good, make sure you stay in contact, and pay what they owe. If there’s a great reason for leaving and they offered an advance notice, Orange County Property Managers decide that a compromise will be in your very best interest.

Early Termination Fee Strategy

Orange County Property Management Companies anticipate that some percentage of tenants are likely to break their leases because it is legal in their area, when this happens Orange County Property Managers add an early termination fee in the lease agreement. This might look like the easiest solution, however it doesn’t always hold up if it is challenged in court.

If another tenant is found, the elderly renter could claim that you are using this fee to charge rent twice for the same unit. Simi Valley Property Managers say that the presence of an early termination fee in the contract sometimes encourage renters to exit early.

Conclusion

It is crucial for Orange County Property Management Companies to prepare for the fact that some tenants will break leases. It’s also critical to have a clear guideline on the best way to handle different situations. Orange County Property Managers make sure policies are legal in their area and are likely to hold up in court.