For the cancellation of the lease agreement from month-to-month, short-term, annual, or even above that, a landlord needs to write a lease termination letter. This letter is to ensure that the landlord has given a warning notice for the termination of the lease.
At one time, a landlord finds a need to write a letter to a tenant whom he does not need anymore. But ending a working relationship with the tenant could be challenging, and hence it has a termination clause.
A landlord may terminate the lease for specific reasons. If those conditions are not valid, then a landlord needs to take legal action. The landlord cannot terminate the lease early as per his wish.
What Is a Lease Termination Letter?
A lease termination letter refers to a legal document, which offers notice that a lease arrangement between a landlord and renter is about to expire.
People often require a termination letter of rental agreement when the situations change for either the landowner or tenants. Generally, lease termination notices are useful in allowing a landlord or tenant to cancel a month-to-month rental agreement.
The termination letter should take the necessary information, such as the names of the tenants, the address being referred to, name and contact information of the landowner, and the other affected parties.
There are two common ways to end a rental agreement and get both parties to complete the hook from their responsibilities:
- If only one party desires to end the relationship, either tenant or the landlord may individually send a termination letter to another party.
- If both parties agree, then both landlord and tenant can sign a mutual agreement upon the lease cancellation letter.
There are some points addressed by the lease termination letter, such as why the lease agreement is not renewed. In addition to it, the termination agreement should include where the landlord should forward the security deposit and other future notices.
Why Need a Lease Termination Letter?
Whether the landlord is changing the property or the tenant has broken the rental, a termination notice is a must.
However, no tenant or landlord can write up a simple letter that says it’s time for the tenant to pack up and go. Instead, the landlord must take significant timelines and ensure that they give proper notice to the tenant.
Termination of lease agreement letter helps you to communicate crucial details about when the tenant has to leave the apartment.
Following reasons indicate that why landlords need a lease termination letter:
- One of the most common reasons that you need a termination of the lease agreement is when a tenant is unable to pay his rent or is not paying on time. In such a situation, sending out the termination letter may let them off of your property as they are not paying rent.
- If the landlord discovers that the tenant breaks any rules or clause included in a rental agreement, then they can send them a notice of lease termination.
- If the tenant is committing illegal actions on the landlord’s property, they can send a legal termination letter to the tenant.
Following reasons indicate that why tenants need a lease termination letter:
- The sample letter of termination of the tenancy agreement by the tenant shows that the renter is moving for a new job or needs a different space.
- In some circumstances, the tenant may find it challenging to live in the home because the landlord has repeatedly failed to repair the necessary items. Then, it becomes the need for the tenant to send a termination notice to the landlord.
What Are the Benefits of Having a Lease Termination Letter?
In some of the states, the tenant must send a termination notice at least before 30 days. The 30 days’ notice is beneficial for the landlord as it gives them time to find another tenant.
Some of the situations show why you need to end a lease as early as possible. If the landlord is selling the home or apartment, then termination of the rental agreement letter becomes necessary. Moreover, if the tenant finds that housing violations create unsafe or hazardous living conditions, they can go for a lease termination letter.
The lease termination notice allows the tenants not to pay all of the remaining rent, and thus they can save their money. Some landlords allow tenants to break the lease without forcing them to pay the penalty.
Therefore, the cancellation of a lease agreement is beneficial to landlords and renters to understand the terms why the notice is generated.
What Does a Lease Termination Letter Include?
For a lease cancellation letter, the notice must include a written form to give a warning to the tenant. However, some basics crucial to include in the letter are address, phone number, and the name of the tenant.
Also, mention names for the landlord or an affected party along with their contact. Other required information includes:
- When was the lease about to end?
A landlord has to state your finalized date before he signed the lease with the tenant.
- Why are you ending lease in between?
There could be many reasons for ending a lease. The main reason is when a tenant violates the legal terms.
- If applicable mention your reason for eviction
A landlord can mention what wrong a tenant has done to his property or if he is not paying rent on time.
- If a tenant can protect himself from cancellation of a lease agreement or not
A Tenant can protect himself but only under certain conditions.
- Termination of lease agreement sample letter
(Landlord Phone Number)
(City, State, Zip Code)
(Name of Tenant)
(Tenant’s Address as on the Lease)
(City, State, Zip Code)
The termination process is like a notice of the eviction of the lease from the landlord to his tenant. But in case, if a tenant wants to break this agreement, then he has to give a legal notice.
Now you must be aware of the termination of the lease agreement and the sample letter. We are there to assist you with a template of termination of the rental letter. You will even learn more from our website. You can check CocoSign for a sample lease termination letter.
Lease Termination Letter FAQs
How to Terminate a Lease Agreement?
If a tenant breaks the law of agreement, a landlord can terminate it. The tenant will be given time to prove himself right or leave the landlord’s property.
How Will a Tenant Write Down an Early Letter For Lease Termination?
In the beginning, you will have to designate with polite words as “Dear (name of the landlord)”. A tenant must end it with the “Sincerely” word and give a signature followed by a printed name.
Is It Right to Break the Lease?
If you cannot pay your rent and feel ashamed of being evicted, it's better you break the lease. Eviction from the property will suck your brain for the whole life.
What Results Will You Face After Breaking the Lease?
For the broken lease, it is a legal term by the landlord so that he can recover from outstanding rent. A tenant might find harassment from the debt collectors, and hence it is difficult to find a new house.
How Much Will I Have to Pay For Breaking an Apartment Lease?
Some landlords give you time to pay fees, but others don’t. However, if you spend $1,000 a month and break the lease in between, you have to pay $600 extra to the landlord.