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    Breaking a lease agreement?

    I’m the landlord and my tenant has notified me that she bought a house and will be out at the end of August. Also states she has paid the last months rent so August is taken care of. Then says she looked into it and if she is buying a house she is antomactily out of her lease. Well she has 6 months to go on her lease and has paid a deposit witch is the same as the monthly rent. I have a meeting with my lawyer Thursday to discuss the matter. I was wondering if any of the other landlords on here had ever come across this craziness? Thanks

    #2
    I would go see a lawyer with a copy of the lease agreement ASAP.

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      #3
      Will all come down to contract states.

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        #4
        Personal experience as a tenant...I NEVER broke a lease that I could not help the landlord find a worthy tenant so that 0 months were missed in rent. It is the right thing to do.

        I understand not everybody can do that, but the monthly rent was usually based on a term rental (1 year in your case) If you would have been renting for a shorter term, the rent would have likely been higher.

        I would say it depends on how it was written in your lease agreement. i know apartment lease will sometimes have a home purchase clause, but not always.

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          #5
          Your tenant apparently did not read the Texas Property Code

          Sec. 92.108. LIABILITY FOR WITHHOLDING LAST MONTH'S RENT. (a) The tenant may not withhold payment of any portion of the last month's rent on grounds that the security deposit is security for unpaid rent.

          (b) A tenant who violates this section is presumed to have acted in bad faith. A tenant who in bad faith violates this section is liable to the landlord for an amount equal to three times the rent wrongfully withheld and the landlord's reasonable attorney's fees in a suit to recover the rent.




          There is also no such provision in the code that allows her to break the lease due to buying a house. There are specific provisions that allow for breaking a lease but her voluntary action to purchase a home is not one of them.
          Last edited by TXJIM; 07-31-2018, 04:38 PM.

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            #6
            Keep her deposit and find a a new tenant ASAP.

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              #7
              I've never heard of a provision (at least one in a standard leasing contract) that allows for breaking a lease without penalty due to the tenant purchasing a home. That's a personal choice.

              Seems like some leases have a 60 day advanced notice clause or similar that may allow a tenant to terminate early and perhaps minimize the penalty. It really depends on how the contract is written.

              Bottom line, the monthly rate charged was based on an annual lease. If said lease was shorter in duration (say 6 months), the rate charged more than likely would have been higher. You are out a tenant on short notice combined with the fact said tenant was paying an annual rate rather than short-term or month-to-month. At the very least, I'd keep the security deposit.

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                #8
                I had a tenant want to break the lease, but wasn’t 100%. So I ended up writin an addendum that stated if they broke the lease hey would be liable for 50% or remaining rent, forfeited their deposit, and were still due any damages once we did final walk. They signed and broke the lease. I got all of my money.

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                  #9
                  I would have to see your lease agreement but IF it's a legal binding lease agreement then she is bound/obligated to it unless you release her from the lease..
                  Cut and dried.

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                    #10
                    Its sounds like the tenant is planning to stay a month without paying and is telling the OP that her deposit is covering the last month of rent. If that is the case, the OP doesn't really gain anything by "keeping the deposit". His tenant is acting in bad faith per the property code and has opened herself up to be sued and be liable for triple damages plus attorney's fees. If I were the OP, I would draft a demand letter pointing this out to her and send it certified mail with signature. I would then hand it off to an attorney if she proceeded after notice to break the lease and violate the property code.

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                      #11
                      i had a tenant try the same thing, i kept the deposit, took them to small claims go all the rent for existing months and got all the money for repairs over the deposit, they did not pay after the judgement until 6yrs later when they tried to buy a new car, had to pay me to get the lein off before the could buy a new car or house, just go to small claims

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                        #12
                        On another note, if she is getting a mortgage, it is quite possible you will be asked for a verification of rents and release...Do not let her out without getting what your contract says she would owe you.

                        oh look...what is that?

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                          #13
                          Keep her deposit because even if you win in small claims court you will not collect!

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                            #14
                            Keep deposit, let her out. Seems like a good tenant if she was renting as a stop gap until she could purchase a house?

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                              #15
                              This is in Texas?

                              This is not specific to your lease because I haven't read it.

                              Its also been a long time, but if IIRC, she has no right to break the lease because she purchased a home. That sounds like some interweb rumor. Its possible that she is part of some class of people that don't have to honor rental contracts, but I doubt it.

                              In all probability, she is liable for the remainder of the lease term. However, if she moves out you have a duty to rent that place as soon as possible. You can't just leave it vacant without trying to rent it. Once its rented her obligations are over. I think, maybe...possibly.

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