Sometimes a property owner needs to terminate a lease early. Here's how that works.
Sometimes situations come up where you need to get your house back in the middle of a lease. Perhaps you've been transferred back in state and you need to live there, or maybe there's a cash emergency that's come up, and you need to sell. Whatever the case, our standard lease agreement does allow for early termination, but judges in the states where we do business expect to see some pretty hefty penalties for doing this, which we've included in our lease, so it's not something to do on a whim. Here are the details on how this works if you ever need to do it:
- A full two (2) calendar months' notice is required to the tenant; that notice has to come from us, not directly from you, so be sure to read below to fill out the form to request this when you need to do it
- You must pay the tenant a penalty of two (2) full months' rent for terminating their lease early
- The money for that penalty must be deposited into your account with GTL before we can give the tenant notice of the early termination; we absolutely have to have that money on hand so that the tenant is paid when they move out; we can't risk that money not being there when it's needed, as that can lead to very expensive litigation
- You will have to pay GTL a $250 Landlord Lease Termination Admin Fee in addition to the above rent
- You will also have to pay out the remainder of your contract with GTL; that means if you are terminating six months into a twelve month lease, you will owe GTL those remaining six months in management fees, plus any fees in your management agreement to close out your account (this doesn't apply if you are only terminating the lease for that tenant and still having GTL place a new tenant and continue managing)
If you need to do this, please fill out this form to request it and we'll get to work on it for you.