One tenent on the lease has moved out / the other remains - question

Charlotte, NC · Member since 2014 · 31 posts · 4 votes

Hi,

I rented a townhouse to a couple in early Feb. Both names are on the lease.

Over the weekend, one of the individuals texted me saying that she wants out of the lease and she has moved out already bc the realationship turned abusive. She says the other person does want to stay.

The other tenent qualifies on their own and I'm ok drawing up a new lease with just the one persons name.

Does anyone have a document (form or template) saying that the tenent coming off the lease does not get their deposit back and when the other tenent moves out would receive the full deposit back (if eligible) ?

Anything else I am not thinking of? Any words of wisdom in this situation?

Thank you,

0 Reply

26 views

Most Popular Reply

Account Closed

San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes

11y

In CA, domestic violence is a valid reason to break a lease, so you may be required to let her out, though it sounds like you're okay with her moving out anyway. Just thought I'd throw that info out there.

I just deleted all my old management files, but I wrote one up something like this once. It doesn't have to be fancy:

She and He Tenants agree to mutually terminate the current lease entered into together on _________x date. She agrees that any refund for her portion of the security deposit will be between She and He to work out between themselves.

Landlord agrees to this mutual termination. Landlord will retain the deposit in the amount of $_________, to be used toward a new lease with He Tenant alone.

He Tenant agrees to be personally responsible for any damage, cleaning, etc., that She Tenant may have caused, and which may be deducted from the security deposit when He Tenant terminates the new lease in his name only.

She Tenant agrees to vacate the property by __________ x date, and agrees that the current lease may not be terminated until she vacates.

When She Tenant notifies Landlord that she has vacated the unit, The new lease with He Tenant will become effective, and Landlord will then change the locks and issue new keys to He Tenant.

He Tenant agrees to change all utilities into his name only within 7 days after the new lease is entered into.

-------------------------

Something like that.

4 Reply

See this reply in the discussion

4 Replies

Jump to latestLatest

Sort by

Account Closed
Homeowner · Signal Hill, CA · Member since 2015 · 521 posts · 70 votes
11y
hopefully u know how much each put toward the deposit, if so, how do you? if not, sounds like would be best course of action for tenant staying to reimburse leaving tenant before a new lease issued in one name.
sorry i dont have a document but hopefully others have such doc useful in ur state!
0 Reply
Mindy JensenPro Member
BiggerPockets Money Podcast Host · Longmont, CO · Member since 2014 · 7k+ posts · 10k+ votes
11y
I think your solution is the right one. You are still renting the property to the remaining tenant, you still need the deposit. If she wants to leave, she should make arrangements with him for the security deposit.
Did she specifically ask for the deposit back, or are you covering your bases?
I think letting her out of the lease and removing her name from it is the right thing to do, but also a nice thing for you to do. Some hard-nose landlords might not allow it to happen, or may require payment to terminate the lease regardless of the situation.
I don't have any forms for you, either. @Account Closed had a great suggestion, to have them work it out amongst themselves. It shouldn't be yours to figure out. Perhaps a short letter with both tenant's signatures and your signature, stating that you have removed her from the lease, he is responsible for the entire rent every month, and the security deposit belongs to the remaining tenant. If what she says is really true, she will probably be happy to just be rid of him.
I would document everything, and keep it in the file for that property. You can never have too much documentation! Good luck!
[email protected]Podcast Guest on Show #261
1 Reply
Account Closed
San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes
11y
In CA, domestic violence is a valid reason to break a lease, so you may be required to let her out, though it sounds like you're okay with her moving out anyway. Just thought I'd throw that info out there.
I just deleted all my old management files, but I wrote one up something like this once. It doesn't have to be fancy:
She and He Tenants agree to mutually terminate the current lease entered into together on _________x date. She agrees that any refund for her portion of the security deposit will be between She and He to work out between themselves.
Landlord agrees to this mutual termination. Landlord will retain the deposit in the amount of $_________, to be used toward a new lease with He Tenant alone.
He Tenant agrees to be personally responsible for any damage, cleaning, etc., that She Tenant may have caused, and which may be deducted from the security deposit when He Tenant terminates the new lease in his name only.
She Tenant agrees to vacate the property by __________ x date, and agrees that the current lease may not be terminated until she vacates.
When She Tenant notifies Landlord that she has vacated the unit, The new lease with He Tenant will become effective, and Landlord will then change the locks and issue new keys to He Tenant.
He Tenant agrees to change all utilities into his name only within 7 days after the new lease is entered into.
-------------------------
Something like that.
4 Reply
Lisa Wilson
OP
Charlotte, NC · Member since 2014 · 31 posts · 4 votes
11y
All - thank you so much for your feedback!
Sue Kelly - thank you for the template. I'm going to take this and run with it. Very helpful!
LJ
0 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.