Tenant broke fix lease

Background: Current tenant on a fixed lease to March 2021, but wanted to break lease in a months time. Agent was going to advertise etc. However, tenant trumped the agent and advertised privately (not sure where, probably on a social site?) and found someone to take over till the end of their lease. These people have sold their house and wanted to rent while looking for a new place to buy. Agent has done the checks.

Questions: Should I be concerned about this? Prima facie, current tenant has got someone to take over their lease so they don't have to pay all the associated costs with breaking the lease to agent (eg advertising fee, rent until agent finds new tenant). Is there anything I should ask the agent before agreeing to this arrangement? Any comment / advice would be much appreciated.

 

Sounds like a win-win to me, particularly in these times.

 

Thanks, shorty. I have similar view, but just want to check that there is nothing I should worry about. I will still have to look for new tenants in March 2021.

 

Just curious to know if anyone has had frequent broke lease? Going through my records and noted that over the last 5 years for the same property we had 3 broke leases - mainly due to tenants buying own properties.

 

If the tenant is acceptable then sounds good. I think the current tenants have behaved rationally - if many of us were in the same position this is exactly the best thing to do (given that there is no incentive for the PM to take quick action). Noting there are plenty of PMs here who would

 

Only downside is that you could find another tenant that would take on a longer lease? Will the agent charge you twice for letting feed? Maybe you can negotiate on that?

 

I'd make sure they properly vet the new tenants, even if it costs you money. RA's find prospective buyers in rentals, one of the few industries where it's not classed an expression of interest.

 

Locking in the replacement at the same conditions in the current market is a bonus, if you had to find a new tenant vacancy + letting fee would exceed the break fee with the risk that the new rent would be lower than the existing (loss/loss).

 

I think it’s a win, just have to make sure the new tenant is vetted

I had this in one of my properties this year the proposed tenant was a co worker of the current and was suitable after conducting checks, they have just signed on for another fixed term

 

THANKS to everyone who has replied - much appreciated. They gave me food for thought and questions to ask the PM.
The (replacement) tenants whom the current tenant found (by advertising privately), are only interested in a stop-gap rent for a few months until they buy (they have sold their place). They only want to rent until the end of the current tenant's lease term. When they leave / this term expires (Feb/Mar 2021) we will have to advertise for new tenants with the usual one year lease, and pay the all the associated costs (advertising, agent's letting fee etc).
The PM said they have vetted / checked the (replacement) tenants' application.
I will ask the PM if we will have to pay them their letting fee for the (replacement) tenants.