How to Cancel a Lease Agreement

This article was written by Jennifer Mueller, JD. Jennifer Mueller is an in-house legal expert at wikiHow. Jennifer reviews, fact-checks, and evaluates wikiHow's legal content to ensure thoroughness and accuracy. She received her JD from Indiana University Maurer School of Law in 2006.

There are 9 references cited in this article, which can be found at the bottom of the page.

This article has been viewed 86,484 times.

If you rent your home, chances are you signed a written lease agreement. These agreements typically last for a year, after which the lease ends – unless you need to move out before then. While there are laws in place to protect some renters such as members of the military on active duty, in most cases if you need to leave before your lease is up you're at the mercy of your landlord and the terms of the agreement you signed. Simply moving out without making arrangements with your landlord can lead to lawsuits and harm your credit score. However, there are ways you can negotiate to cancel a lease agreement, depending on your situation and the laws in your state. [1] X Research source

Using a Buyout Clause

• Often these clauses require you to pay a flat amount as a fee and give notice (typically two months') to your landlord. [3] X Research source The fee may be a specific amount, or it may be calculated according to your rent, such as by requiring one month's rent as a fee if you want to break your lease early.

• If you ask your landlord about the buyout clause, or any other part of your lease, and she provides you with an interpretation, send a written letter restating that interpretation. If your landlord later tries to sue you and argues that you didn't follow the agreement, you can use that letter as proof that you asked about the term and acted in reliance on your landlord's interpretation.
• If the clause doesn't specifically address additional amounts such as your security deposit, make sure you talk to your landlord about that so you know whether the deposit remains refundable or must be forfeited if you move out early. [4] X Research source
• Check the portion of your lease agreement relating to the security deposit as well, as it may include details about what happens to the money if you cancel the lease early.

• If you have a genuine emergency situation outside of your control, it may not be possible to give the notice required by the clause. In that case, make sure you provide notice as soon as you know and explain the situation. Typically your landlord will be understanding, especially if it's a true emergency such as a death in the family or an involuntary job transfer. [5] X Research source

• Legally, the fee can't exceed your landlord's financial loss incurred as a result of your early termination. For example, your landlord loses money every day that an apartment sits vacant. However, if she rents your apartment two days after you move out, she may be required to refund you all or part of the fees you paid to cancel the lease agreement. [6] X Research source

• In some cases, forfeiture of the security deposit may be treated as a fee rather than a deposit against damages, as it would have been if you left when the lease ended. If this is the case, the landlord may charge you for additional damages that went beyond ordinary wear and tear.
• You may need to use this landlord as a reference in the future, so treating the property with respect, especially if you have to break your lease, will help you stay on good terms.

Negotiating Early Termination

• In all states you can terminate your lease early if you are a member of the military called to duty. Some states also allow for early termination in other circumstances such as job relocation or health problems. [7] X Research source
• You also have the right to terminate a lease early without owing any further payments if your lease includes an illegal clause. For example, a clause in your lease allowing the landlord to charge you rent every two weeks instead of every month because you made a late payment or violated some other rule in your lease would be illegal.
• Typically, however, your landlord must act – or at least attempt to act – on the illegal clause before you can break the lease yourself. If the landlord doesn't act on the illegal provision, then you are the one who breached the contract first (by moving out before the lease ended).
• Most states also allow you to cancel a lease agreement if you are a domestic violence survivor and need to find new housing after a dispute. [8] X Research source

• Make a specific appointment to sit down and talk with your landlord, rather than just dropping by unannounced. When you arrive at the appointment, be courteous and respectful.
• Stick to the facts as much as possible when you're explaining the reasons you need to move out early. If you have any documents that prove the necessity of you leaving by a certain date, such as a transfer notice from work, make a copies for your landlord and bring them with you to your meeting.
• Try to plan your meeting as soon as possible, especially if circumstances prevent you giving very much notice to your landlord of your intent to vacate. Your landlord may be more accommodating if you demonstrate that you did everything in your power to let them know about the situation as soon as you could, rather than knowing you were going to move out for two months and not saying anything until a week before you wanted to leave. [10] X Research source

• Although ideally you would want your security deposit returned if you left your apartment in good condition, the additional money may help win your landlord's agreement to cancel the lease.
• If you do make this offer, make sure you leave the unit clean and undamaged when you move out. Don't use the fact that you're not getting your security deposit back anyway as an excuse to trash the place – your landlord may sue you for additional damages.
• Make sure the security deposit money is treated separately in the written termination agreement, including whether you will be on the hook for any damages to the apartment.

• Most states have laws requiring landlords to take reasonable steps to rent the property again if you vacate early, which means if you had a lot of time left on your lease you typically wouldn't have to pay the entire remainder in full. However, you may be liable for your landlord's costs of advertising the unit. [12] X Research source
• If you know of someone looking for a new place to live, you might be able to put them in touch with your landlord. If they end up working out as a replacement, your landlord will appreciate the time and effort you've saved him. [13] X Research source
• If your lease allows it, you may also be able to sub-lease your apartment to someone else for the remainder of your lease. Check your lease to see if you have permission, and follow any requirements. For example, landlords who allow tenants to sub-lease may require the new resident to sign an agreement with them or to meet the same standards they've set for original tenants.
• Keep in mind, however, that finding a replacement tenant may be preferable to sub-leasing, even if your lease allows it. If you sub-lease your apartment, you remain responsible for the unit – including any damages done by the new tenant. [14] X Research source

• If you and your landlord agree to terminate your lease early for whatever reason, your landlord may have a standard termination agreement that she uses. If your landlord is using a form, make sure all the clauses apply to your situation. If there's anything in her agreement that you haven't discussed, bring it up. Anything that's crossed out or changed should be initialed by both you and your landlord.
• Because your original lease is void on the date your termination agreement takes effect, review the termination agreement to see what rights or obligations, if any, were transferred from the original lease. [16] X Research source This probably includes clauses such as your obligations to make any repairs of damages beyond normal wear and tear before you move out.
• Make sure everything you discussed and agreed upon in your negotiations is included in the written termination agreement – don't assume something is part of the deal if it wasn't reduced to writing, and don't rely on your landlord's word. [17] X Research source
• Once you and your landlord have signed the agreement, make a copy and keep it in a safe place in case disputes arise later. [18] X Research source

Claiming Constructive Eviction

• Examples of constructive eviction include shutting off water or electricity, or refusing to repair a leaky roof that causes damage inside the unit. [21] X Research source
• The problem must be so great that it causes a substantial interference with your use of the property – it can't just be an inconvenience. For example, if your central heating system is broken in July, that probably wouldn't constitute constructive eviction. If the heating system was broken in January, however, and there's snow on the ground outside, that may be considered constructive eviction if the landlord doesn't fix the heat within a reasonable period of time.
• Generally, your unit must be uninhabitable, creating a situation in which you have been deprived of full use of the property. The legal theory behind constructive eviction is that since the landlord hasn't provided you with a habitable dwelling, you are no longer obligated to pay rent. [22] X Research source

• If you move out without a pre-existing agreement to cancel the lease agreement, your landlord has the right to sue you for damages. [23] X Research source When you are sued, you can claim constructive eviction as an affirmative defense. However, keep in mind that you must prove all aspects of an affirmative defense.
• States also differ on whether you have a duty to make any repairs yourself prior to moving out. Constructive eviction is considered an extreme remedy, and often the problem must be something that you had no ability to alleviate yourself. [24] X Research source

• Even if you've already told your landlord repeatedly about the problem, written notice is essential to claiming constructive eviction. This also entails being able to prove that your landlord received your letter. For this reason you should consider mailing it using certified mail so you have proof that it was received, rather than simply sending an email or leaving a letter in the office's mail slot.

• Consider talking to an expert if you're unsure what a reasonable period of time would be. Some major problems such as a gas leak could take several days to remedy, while other issues should be repaired within a couple of days.
• How long is considered reasonable also depends on what the problem is and the circumstances surrounding the problem. For example, if you're renting an apartment in Michigan and the heat goes out in February, your landlord must take steps immediately. However, if the heat goes out in June, the need is not quite as urgent.

• You might also consider having a state or county inspector come and look at your unit and file a report. If the unit doesn't meet the health and safety standards established by your state, the inspector will start procedures for assessing those violations.
• Take photos of the damage as it progresses, and make sure a date is attached to those photos. For example, if your ceiling and walls are damaged by a leaky roof, take photos showing the water stains on the walls and ceiling. If the problem gets worse because your landlord hasn't taken steps to repair it, take additional photos showing the progression.

• To claim constructive eviction, you must actually leave the property because of the
• If your landlord later sues you for breaking your lease, you can raise the defense of constructive eviction.
• Generally, if a court agrees with you that you were constructively evicted, you have no further liability for payments under the lease. You may even be able to claim additional damages for any losses you incurred as a result of the constructive eviction.
• However, keep in mind that if you move out on a constructive eviction theory, and a court later determines there was no constructive eviction, you'll be on the hook for any rent due from the date you moved out.

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1. ↑https://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter9-5.html
2. ↑https://realestate.usnews.com/real-estate/articles/how-to-break-your-apartment-lease
3. ↑https://realestate.usnews.com/real-estate/articles/how-to-break-your-apartment-lease
4. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
5. ↑https://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter9-5.html
6. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
7. ↑https://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter9-5.html
8. ↑https://tenantsunion.org/rights/breaking-a-lease
9. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf

1. ↑https://realestate.usnews.com/real-estate/articles/how-to-break-your-apartment-lease
2. ↑https://tenantsunion.org/rights/breaking-a-lease
3. ↑https://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter9-5.html
4. ↑https://tenantsunion.org/rights/breaking-a-lease
5. ↑https://tenantsunion.org/rights/breaking-a-lease
6. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
7. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
8. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
9. ↑https://www.legalzoom.com/assets/legalforms/Termination%20of%20Lease.pdf
10. ↑https://www.findlaw.com/realestate/landlord-tenant-law/defenses-to-eviction.html
11. ↑https://www.law.cornell.edu/wex/constructive_eviction
12. ↑https://www.freeadvice.com/legal/constructive-eviction/
13. ↑https://www.findlaw.com/realestate/landlord-tenant-law/defenses-to-eviction.html
14. ↑https://www.findlaw.com/realestate/landlord-tenant-law/terminating-a-lease-or-rental-agreement-faqs.html
15. ↑https://www.ccim.com/cire-magazine/articles/building-case-constructive-eviction/
16. ↑https://www.law.cornell.edu/wex/constructive_eviction
17. ↑https://www.freeadvice.com/legal/constructive-eviction/

About This Article

This article was written by Jennifer Mueller, JD. Jennifer Mueller is an in-house legal expert at wikiHow. Jennifer reviews, fact-checks, and evaluates wikiHow's legal content to ensure thoroughness and accuracy. She received her JD from Indiana University Maurer School of Law in 2006. This article has been viewed 86,484 times.

Having to move out before your lease is up can be stressful, but there are several ways you can try to terminate it early. Read through your lease to find out if it has a buyout clause, which will contain details about what you have to do to end your lease early. It may include giving your landlord advance notice and paying a fee, such as 2 months rent. If you’re unsure about the terms, ask your landlord for their interpretation of the agreement. Then, follow the terms to end your lease. If your lease doesn’t have a termination clause, make an appointment with your landlord to negotiate a termination. You could offer your security deposit as compensation if your landlord is unwilling to agree to let you terminate. Remember that any termination agreement must be in writing and signed by both parties to be legally binding. For tips from our Legal co-author on how to use your state’s law to terminate your lease agreement, keep reading!

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