Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime

Let's keep in touch

Subscribe to our newsletter for timely insights and actionable tips on your real estate journey.

By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions
Followed Discussions Followed Categories Followed People Followed Locations
Tenant Screening
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 3 years ago on . Most recent reply

User Stats

218
Posts
140
Votes
Karla Simmons
  • Vacaville, CA
140
Votes |
218
Posts

Potential tenant willing to break current lease

Karla Simmons
  • Vacaville, CA
Posted

I have a potential tenant that has great credit score and good job. But she is in a one year lease at an apartment complex and said she would break her lease to rent my home. Big red flag? Feels like it. I have had quite a few candidates that have not had good credit or have too much debt, so I was thinking she might be good, but I would like some input from others. Thank you

Most Popular Reply

User Stats

71
Posts
64
Votes
Eduardo Bilbao
  • Realtor
  • Miami Fl
64
Votes |
71
Posts
Eduardo Bilbao
  • Realtor
  • Miami Fl
Replied
Quote from @Karla Simmons:

@Theresa Harris

Turns out she did have a lease buy out clause. I didn’t know such a thing existed. I do not have such a clause in my leases, but from what you are saying it sounds like tenants will risk it anyway and just forfeit their deposit. Times have changed. It used to be that a one year lease was just that and people didn’t think about breaking them, or at least most people. Thanks for your input.

We as landlords have to protect our investments. It takes time and work getting new tenants. Some people are extremely picky and will want to just get out of a lease like nothing would've happened. When you are not a real estate investor the mindset of how much work it takes and the things that could happen doesn't even cross their minds.
I have seen many contracts and some that I really like are the buy out clause and also the lawyer fee clause where if due to the tenants fault we have to go to court due to either property damage or eviction they would have to fit the bill. That is one more incentive for them to be good tenants. I am not a lawyer just my two cents. 

Loading replies...