Breaking Your Lease
June 16, 2021
I need to break my lease...what do I do?!
Job transfers, medical issues, or other emergent life events can disrupt your plans and present the urgent need to move before your lease expiration date. Anytime you cannot fulfill the full term of your lease, it is considered "breaking" the lease and there are some associated consequences. Since a lease is a legally-binding contract, you remain responsible for your rent, utilities, lawn care, and all other lease obligations for the remainder of the lease term even if you have to move out early (**see footnote below regarding military orders). The exception to this rule is if we can find new, approved tenants to begin a new lease prior to the end of your lease term. Basically, the sooner we can find new tenants and execute a new lease, the less days you'll be held responsible for your lease obligations.
Here are some things you can do to facilitate a smooth transition and to reduce your expenses associated with early termination:
- Written Notice: Submit written notice that you will be vacating the property to your Property Manager as early as possible before your move. Make sure to include the date that you will surrender possession of the home back to Select Rental Services. We cannot begin marketing the property to find new tenants until we have your written notice and your official move-out date (which is the day you will be returning keys to the office). When we have ample time to find new tenants, we are more likely to have someone lined up to start a new lease shortly after your move-out.
- Be Cooperative: Once your property is put on the market, we will begin showing the property to approved applicants. Be cooperative during these showings by allowing access to your property and keeping your home as clean and tidy as possible. When a home looks its best, prospective tenants are more likely to lease the home, thereby cutting down on the days you'll remain responsible for your lease. Prospective tenants are looking for homes that are decluttered, clean, and well-maintained (including the lawn). While we understand you'll be packing and moving, we just ask that you do your best to present the home in the most welcoming light.
- Read and Follow Your Move-Out Instructions: Once your move-out process begins, you'll receive move-out instructions from our office via postal mail and email. This may seem obvious, but you MUST READ these instructions. Your move-out instructions include important information about what your Property Manager will expect to see after your move-out. Once you have returned keys to our office, your Property Manager will then perform an independent move-out inspection (you will not be present at the time of inspection). If the property meets all the standards outlined in your move-out instructions (i.e. clean, lawn has been mown, landscaping trimmed, no damages noted, etc.), you are significantly less likely to have any deductions for damages/maintenance on your security deposit. However, you will be responsible for any costs associated with re-renting the property that the landlord incurs due to your breach of the lease; as such, your security deposit will be processed in accordance with the NC Tenant Security Deposit Act (click here to see the full statute - NC G.S. 42-51).
- Move Out on the Date Specified: Be sure to move out and turn in keys to our office no later than the date you specified when you gave your written notice. With an adequate amount of time given in your notice and your full cooperation during showings, most of the time we will have a new tenant lined up to take possession of the property soon after your move-out. This will mean that your Property Manager only has a few days to prepare the property for turnover. So, if you do not turn in keys on the date promised, the whole process is delayed and causes a ripple effect for the next tenant. If you cause delays in the turnover process and the new tenant cannot take possession of the property on the planned lease date, you will remain responsible for the lease until the situation has been resolved.
When it's all said and done, following these tips and staying in communication with your Property Manager will help you cut down on the negative consequences associated with breaking a lease.
**In the case of a required move based on active duty military orders, the procedure for early termination is different. Consult with your Property Manager if you are an active duty military tenant for instructions specific to your lease.
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When will I get my security deposit back? Landlord-Tenant laws in NC give 30 days from the time the lease agreement ends, or from the time possession of the property was delivered to the landlord/property manager (whichever is later) to process your deposit. If it cannot be processed within those 30 days, you will be notified that the final accounting will require additional time to process, allowing for another 30 days. So, even if there are delays that prevent a more expeditious process, the total number of days should not exceed 60. How do I get my security deposit back? Any remaining balance of the security deposit will be mailed to your forwarding address on file, along with a disposition letter showing the breakdown of the final accounting. To ensure the arrival of your check, please make sure you have given us an accurate forwarding address no later than the end date of your lease. We will not cancel and re-issue a check until 30 days have passed to allow for arrival by mail. Can my security deposit be sent back in the form of separate checks divided equally amongst all tenants on the lease? No. A single check will be issued to all financially-responsible tenants on the lease agreement. Can I use my security deposit to pay my last month's rent? No. Your security deposit cannot be used to cover your last month's rent, which is outlined in your lease agreement. The security deposit is designed to cover any damages to the property that exceed normal wear and tear, which is assessed after move-out. Even if you are confident that you have not damaged the property during your tenancy, things can happen accidentally during move-out and security deposit funds must be available to compensate for the damage. If I move out early and my roommate is staying in the home, can I get half of the security deposit back when I leave? No. The security deposit will not be processed until the entire tenancy ends. It will then be refunded to the remaining financially-responsible tenant(s) on the lease agreement. Do I have to get my carpets cleaned, even if I know the owner is planning to replace them soon? Unless otherwise stated in writing, yes. Carpet cleaning is a requirement to be done prior to your move-out, per your signed lease agreement terms. If the carpets are found to be overly dirty after move-out, your security deposit will be charged for having them cleaned. Do I have to have a flea and tick treatment done prior to moving out, even if my pets don't have a flea or tick problem? Yes. Per your lease agreement, you are required to have the treatment done prior to moving out if you have pets in the home. If there are clear signs of a pest issue (inside or outside the home) after move-out, your security deposit will be charged for proper treatment. What happens if I have an overdue balance after my full security deposit has been used? You will be notified via mail and/or email with a copy of your disposition letter of the final accounting. If payment arrangements are not made and agreed upon by our office, the owner can choose to put your account in collections or file a claim against you in small claims court for the money owed. These outstanding balances are reported on landlord reference verifications, and will likely affect your ability to rent with other companies/landlords in the future.
I got approved, but not for the property I originally wanted. What now? If you received a notice of approval on your rental application with our office but you were not approved for the property you wanted, we know it can be disappointing. However, you have a couple of options on what to do with your application: Review the other available rental properties we have on our website. If there is another property available for which you qualify financially, you may request to move your application to the available property. Put your application on hold. If there are no available properties that will work for you, we can put your application on hold. You will have 30 days from the date of your original application to see if another property comes available for which you qualify financially. Please continue to check our website vacancies tab frequently, as our website is updated in real-time when we post a new property for rent. Contact our office during business hours at 252-335-8633 to move your application to the new property. IMPORTANT NOTES: If you choose to move your application to another property with our office during your 30-day approval period, you will still be competing with any other applications we have received on that property until such time that you pay the holding fee to reserve it. Application fees are non-refundable . We often receive multiple applications on a property. Although you may not have been selected for the property you wanted, the application was still processed in full (including your background and credit check screenings, for which we pay a fee as well). The amount and quality of work done to process your application remains the same, and your application will remain on file for 30 days from your original application date. We appreciate your understanding and cooperation, as well as your careful review of our policies (which are noted on the "Before You Begin" page of the application process).
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