One of the most frustrating situations most landlords encounter is when a tenant breaks their lease agreement and leaves without any notice. This kind of exit can leave many landlords with an empty rental property, unpaid rent, and unanswered questions, whether it's due to financial struggles, personal issues, or a sudden move.
So, what should you do when this happens? Here’s how you can take control of the situation and minimize losses.
Confirm the Tenant Has Vacated
Determine whether the tenant has truly vacated the premises. In some cases, it might just appear abandoned. Look for signs like removed belongings, a missing tenant's sign of intention to stay, turned-in keys, or disconnected utilities. Check if the lease ends soon or if they attempted to end their tenancy early.
Document everything in case legal issues arise. You may need to serve a formal notice or contact the tenant directly.
As a property owner, you can benefit from using property management software to track communications and timelines, verify attempts to pay rent, and record the status of services like maintenance or inspections tied to the lease.
This will help ensure you have all the necessary information to protect your interests.
Review the Lease Agreement
Next, review the contract carefully. The lease agreement should clearly outline the expectations and consequences if a tenant breaks their lease.
Most agreements include clauses about a breach of lease, particularly when tenants leave without notice or try to end the lease early. These clauses may give you the right to keep the security deposit, demand payment for the remaining rent, or pass the responsibility of finding a new tenant to the tenant.
Understanding these terms is essential to protecting your business interests. Consider working with professionals to ensure their leases comply with local laws and provide maximum benefit in the event of unexpected tenant behavior.
Try to Contact the Tenant
Reach out to the tenant if possible. Sometimes, they’re willing to settle unpaid rent or work out a payment plan. Asking about their forwarding address and rental history can help you during future tenant screening.
Inspect the Property
Conduct a thorough inspection of the apartment once the tenant has officially vacated.
Take pictures and notes to mitigate damage and document the condition of the property. This documentation will also help determine how much of the security deposit should be taken for repairs.
Once the inspection is complete, address any necessary repairs immediately to ensure the property is ready for potential tenants.
Begin Marketing the Rental Property
Under California law, you must make reasonable efforts to access the unit and collect rent by finding a replacement tenant. Therefore, it's essential to act quickly to lessen rental income loss.
By strategically advertising your property, maintaining it, and efficiently screening tenants, you can get your rental back on the market faster and reduce the financial impact.
It's also important to track and apply late fees when applicable, ensuring compliance with the lease agreements.
Property management software can help you stay organized, especially when managing multiple rental properties. This will allow you to manage the rental process efficiently and ensure that your interests are protected throughout.
Understand Your Legal Options
If the tenant breaks the lease without following proper procedures, you may pursue the unpaid rent through small claims court. Understanding your legal responsibilities and options can help you make informed decisions and protect your investment.
Let Penny Realty Manage Your Rental Property
At Penny Realty, we understand how stressful it is when a tenant breaks their lease and leaves unexpectedly. We’ve been helping San Diego property owners like you manage their rental properties from screening tenants to collecting late fees and enforcing lease agreements.
Contact us today and let our team of experienced property managers help you take back control of your rental investment.
