Steps for Composing Tenant’s Letter of Termination of Rental Agreement

Tenant Lease Termination Basics

Understanding a Tenant’s Lease Termination
When it comes to lease termination the general rule is that a tenant can end a lease anytime he or she wants. However, doing so without notice may have serious consequences of which all tenants should be aware.
Prospective and current tenants should know how lease termination works. Typically, tenants simply want to be able to end their rental agreement without problems. This means that they often wish to be informed of any potential problems while retaining the ability to resolve them at any time.
When a lease is signed, a tenant has the right to remain in the premises until the term of the lease ends. However, a tenant may also leave before the end of the lease term, which means the lease is terminated. The tenant does not need to provide the landlord with specific reasons for wanting to terminate a lease. Casual reasons for terminating a lease include job relocations, financial issues, marital problems and more.
During the early months of a lease, tenants often find that they can’t make regular payments. Once the landlord fails to contact the tenant about any issues, the tenant is free to move out at any time . Individuals who are unable to afford their rent may take advantage of this often unspoken aspect of lease agreements.
A tenant can give proper notice of lease termination. Most landlords ask for a 30-day notice. If the tenant fails to provide this, the landlord may continue to charge the tenant for another month, even if he or she leaves after 10 days.
It is not uncommon for tenants to make arrangements with the landlord or property manager to allow them to move out before the end of their lease. In these cases, the tenant and the landlord may decide on how the lease termination will be handled. A letter will often be issued to confirm that the lease was terminated in advance. In some cases, the landlord may try to keep the security deposit. However, if proper notice is given to the landlord, the tenant may get the deposit back.
Some leases have a guaranteed lease renewal period. If a tenant decides to break a lease with a guaranteed renewal period, he or she can be taken to court. If the lease did not have a lease renewal option, the landlord is unlikely to sue for a broken lease.

Circumstances for Early Termination of Rental Agreement

The reasons for ending a rental agreement early can vary significantly. Relocation for employment is one of the most commonly cited reasons for early termination. In an increasingly mobile work environment, tenants often find themselves being offered new opportunities that require them to relocate. A job promotion or transfer can necessitate a quick move, sometimes leaving tenants with little time to properly prepare for their departure.
Financial issues can also lead to early termination. A sudden loss of income due to employment termination, workplace injury or the loss of a business can create an immediate need to move. Unfortunately, this hardship often leads to heavier emotional challenges for tenants, resulting in difficulty focusing on details and the need to break their rental agreement on short notice.
Sometimes, personal hardship can become too difficult for a tenant to manage while keeping commitments. A medical emergency such as a major accident or serious illness can require relocation, or even if relocation is not necessary, the lifestyle changes that accompany this new challenge may render a rental property impractical.
While many of these reasons may seem frustrating to a landlord, laws typically provide for tenant rights in cases of hardship. Commonly called a hardship clause, the exact specifics of this rights provision will vary by state and even by county.

Terminating a Lease: Required Information

If you reside in a rental unit and you plan to end your tenancy, written notice to terminate the lease is usually required whether you have a written or verbal contract with your landlord. Although you ordinarily must provide written notice in advance of terminating your lease, the required time frames can vary greatly by state. To determine how much notice you must give, refer to the law in your state or a rental agreement. The following information explains legal requirements for lease termination by a tenant.
Since many landlords allow tenants to sign longer-term lease agreements, you may only find out several months before the end of your current lease term whether you will move or renew your lease with the same landlord, or if you will simply stay on a month-to-month basis. Provided you plan to move and not just stay where you are or renew a lease, you must send your landlord a letter to let it know.
The majority of states require that tenants give their landlords at least 30 days, 30 days’ notice so the landlord has time to find new tenants. In some states, you must give your landlord a minimum of 60 days’ notice. However, if you live in an apartment in a public housing unit and plan to continue living in the same general area, giving your landlord 12 days matters more than how many days or other time frames.
You need to stay focused on your situation, which involves what your options are, what your landlord prefers, or how much time you have left in your rental agreement. The law’s exceptions and exceptions to the exceptions can change your accountability when it comes to providing the appropriate amount of notice. For example, the law may state that you have 30 days’ notice if you plan to vacate your unit, but you may actually be able to leave sooner if you do not plan to renew your contract.

Writing the Tenant Termination Letter

When writing a termination letter, the basic components are quite simple. Being that you want to leave the property, you must remember to have included in the letter your name, the address of the rental property, the date after which the lease will end, and the reasons for leaving the property. Including these items takes your letter from something that just states you are leaving to a legal document.
It is important to remember that in most states a written notice to vacate is required to terminate your agreement. Without this document, even if you tell your landlord or property manager that you are leaving, your lease may not be officially broken.
While the above information is fairly standard, you also need to make an attempt to keep at least a copy of this letter for your own reference later. In addition, we suggest keeping a copy of any correspondence you have with your landlord or property manager after you send out this notice.

Sample Tenant Termination Letter Template

Your Name
Your Address
Your City, State Zip Code
Your Cell Phone Number
Your Email Address
Date
Your Landlord’s Name
Your Landlord’s Name
Leases and Rental Agreements
Landlord’s Mailing Address
Landlord’s City, State Zip Code
Dear [Landlord’s Name],
The purpose of this letter is to give you notice to terminate the rental agreement between us. The terms of our lease agreement state that I must give you a [NUMBER OF DAYS] days’ notice to terminate. In compliance with that requirement, you are hereby notified to terminate our lease as of [DATE 30 OR 60 DAYS FROM TODAY]. Please consider this a formal notice of termination on my behalf . The exact location of the residence that I am vacating is [HOUSE NUMBER AND STREET ADDRESS, i.e., 50 Main St., City, ST Zip].
Please be aware that I will be vacating your rental property on or before the required move-out date. A final walk-through inspection of the premises should be scheduled as close to the move-out date. The return of my security deposit also should be done at that time.
I also require a written agreement about the amount of any holdover rent, if any, return of my security deposit and return of all keys, which we can sign after the final walk-through inspection.
Thank you for your kind attention to this matter.
Sincerely,
YOUR NAME

Best Practices for Constructing a Professional Tenant Termination Letter

Tips for Writing a Professional Tenant’s Termination of Rental Agreement Letter

1. Pick the Perfect Day:

Pick a calm day to write the termination letter, you won’t want to pick an emotional or stressful day to write and send one of these letters.

2. Speaking of Being Calm:

Make sure you use the right tone, as it is easy to get angry or upset when writing a termination letter and it is easy to come off like you are angry. Even if you are upset, you as a tenant should stay calm and send a professional termination letter.

3. Be Clear:

A good termination letter will be clear and easy to read; it will not be filled with long sentences or overly complicated language. Remember, the landlord may need to talk about what you wrote in the termination letter after they’ve received it, so don’t make it hard for them, and make sure it makes sense to them.

4. Date the Letter:

When you resign/move out, it is common to date the letter. Knowing the exact date of the termination makes it less confusing and makes it easier to know when the letter was received.

5. Remember it is a Business Letter:

Remember that you are writing a letter to a business, so it should be written like a business letter. Don’t forget to check the spelling and punctuation, and make sure it is formatted in a professional way.

6. Don’t Skip Out:

If you send a tenant termination letter it will be much easier to get your security deposit back when moving out (no matter what the reason for your termination). They have to get back to you within a certain amount of time, and if you don’t follow the rules or regulations that are needed then you can lose your money.

Next Steps for Landlord Following Tenant Termination Letter

What you do after sending the tenant termination letter is as important, if not more so, than writing the letter in the first place. This is because with a legal document like a rental agreement, the language is important in its own right, but the application is paramount.
First, from the tenant’s standpoint, it’s important to acknowledge the termination letter and confirm receipt within the first four days of its delivery. That’s because PearSeparator Cordill recently warned tenants here in St. Louis that they are potentially liable for three months of "holdover" rent if they miss the legal deadline for acknowledging a landlord’s termination letter. So, read the letter and reply to your landlord quickly.
Second, in that same 4-day window, you should initiate plans to move out. Again, if you miss the legal deadline to move out, your landlord can hold you responsible for three months of "holdover" rent (that’s the rent amount per month in your rental agreement). So, don’t waste any time.
Third, begin properly complying with all remaining contractual and legal obligations . There’s a lot more to your rental agreement than your monthly rent payment. So check your agreement for other obligations. For example, you may be able to use your security deposit to cover remaining rent and/or other obligations. Or, your rental agreement could allow use the security deposit as compensation for non-compliance with other obligations and require the landlord to refund any leftover amount after the obligations are satisfied.
Landlords also need to respond to a tenant’s termination letter. Landlords should assist tenants in good faith with any move-out needs. For example, if your landlord requires 30-days’ notice of termination and you provide a 60-day notice. Your landlord should work with you to determine if he or she will accept a termination with only 30-days’ notice.
Once you’ve personally delivered the termination letter to your landlord and made sure your landlord acknowledged it, you—the tenant—should work with your landlord to properly conclude all of the obligations of your rental agreement before you move out.