Tenant wants to break lease after 4 weeks occupation

Discussion in 'Property Management' started by Tassie_Troy, 21st Sep, 2017.

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  1. Tassie_Troy

    Tassie_Troy Active Member

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    Hi everyone
    I received an email from my PM today stating that my tenant wants to break the lease due to $ circumstances etc. Anyway the PM has listed the property now. Basically the tenant has agreed to pay for the advertising and continues to pay rent until a new tenant moves in. The vacancy rate is at an all time low of 0.4 % for New Town so finding a new tenant shouldn't be a worry.
    The House is a 1940's double brick in New Town Hobart a trendy inner city suburb 2.8 km from the CBD .

    cheers Troy
     
    Last edited by a moderator: 21st Sep, 2017
    Tassie_Troy, 21st Sep, 2017
    #1
  2. D.T.

    D.T. Specialist Property Manager Business Member

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    Are you asking a question about the process or just advertising the property?
     
    D.T., 21st Sep, 2017
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  3. Xenia

    Xenia Well-Known Member

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    Boy oh boy - it happens

    They don't need to agree to pay anything, they get charged anyway, there is no negotiation.
     
    Xenia, 21st Sep, 2017
    #3
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  4. Tassie_Troy

    Tassie_Troy Active Member

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    Just wasn't sure what the process was as i have never had this happen before. Also reinforces the advantage of having a great PM.
     
    Tassie_Troy, 21st Sep, 2017
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  5. D.T.

    D.T. Specialist Property Manager Business Member

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    Yea for sure it does. The process is a bit different in each state. Luckily here in SA is a bit 'automatic' in that it just happens and the charges are set in stone, but in some some states you have to claim via tribunal, and in some different amounts are claimable.

    Not sure on Tas off the top of my head, but here in Adelaide if it were 4 weeks in we'd ask for full letting fee, full advertising and rent til the date new tenant moves in.
     
    D.T., 21st Sep, 2017
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  6. geoffw

    geoffw Moderator Staff Member

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    In NSW a break lease (except for special circumstances) means that the departing tenant pays 4 weeks rent. (I'm not sure if this is an option on the lease or whether it's automatic). This wasn't always the case.

    I've had a lease broken, 4 weeks rent paid, and a new tenant moved in after a few days.

    Previously when the outgoing tenant paid until a new tenant was found, there were disputes if the place was vacant for very long.
     
    geoffw, 21st Sep, 2017
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  7. Zepth

    Zepth Well-Known Member

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    It's actually 6 weeks if broken in the first half of the lease period, 4 weeks for the second half.

    This break fee also needs to be specifically listed in the lease or else it reverts to that standard method of paying rent till leased etc
     
    Zepth, 22nd Sep, 2017
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  8. Tony

    Tony Well-Known Member

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    Will you also be up for a new lease fee & other costs?
     
    Tony, 22nd Sep, 2017
    #8
  9. D.T.

    D.T. Specialist Property Manager Business Member

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    Of course, which is what the tenant covers
     
    D.T., 22nd Sep, 2017
    #9
  10. The Gambler

    The Gambler Well-Known Member

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    Ain't that the truth. Having a great PM is massive. I lucked out beyond belief with my PM on the Goldie and wouldn't trade them for anybody.
     
    The Gambler, 22nd Sep, 2017
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