Breaking a tenancy agreement
Breaking (terminating/ending) a tenancy agreement
A tenancy agreement is legally binding and can only be ended for certain reasons. If either the property manager/owner or the tenant breaks the agreement, compensation will probably need to be paid.
Compensation
Money may be owed as a result of breaking the lease. This is considered compensation.
If the tenant breaks the lease, they may have to pay reletting costs. Any compensation, or payment options for the amount, should be discussed between the tenant and the property manager/owner
What if you need to break your lease
- Always inform the property manager in writing of your intention to leave.
- You may be asked to pay reletting costs based on how much of the lease has expired.
Common options in this situation include:
- You and the property manager and owner mutually agree in writing to end the agreement early on a specific date.
- Provide us as the property manager a Notice of intention to leave (Form 13) and leave the property.
What are Reletting Costs?
If you need to break a tenancy agreement and leave early, you may be responsible for reletting costs. Reletting costs are used by an owner to support the reletting of a property (finding a new tenant).
To calculate reletting costs, its important to understand how much of the fixed term tenancy agreement has elapsed.
| % of tenancy agreement that has expired | Reletting cost |
|---|---|
| Less than 25% | 4 weeks rent |
| 25% to less than 50% | 3 weeks rent |
| 50% to less than 75% | 2 weeks rent |
| 75% or more | 1 weeks rent |
It is best to upfront with your property manager and give as much notice as possible.
We will contact with you to discuss the advertising and times available to show prospective new tenants through the property.
Have questions or just not sure?
If you are unsure about how to best approach a break lease situation, please give us a call to discuss.
Further information can also be found on the Queensland RTA website at https://www.rta.qld.gov.au/breaklease