What Happens When a Tenancy Ends Early
When a tenant or property owner’s circumstances change, the tenancy agreement may have to end earlier than expected.
According to the Residential Tenancies Authority (RTA), a fixed term agreement is ended before the end date without grounds, this is a break lease situation and compensation may need to be paid.
If the tenant ends a fixed term agreement early, they may have to pay compensation for loss of rent until the tenancy end date or until the property is re-let, and reasonable costs incurred in re-letting the property, such as a re-letting fee and/or advertising costs. The Landlord or Property Manager is required to take steps to mitigate loss and expenses to reduce costs involved and minimise the compensation to be paid by the tenant.
If the Landlord wants to end a fixed term agreement early, they may negotiate with the tenant to mutually agree to end the tenancy. The tenant could seek compensation which may include financial assistance with removal costs to find another rental property.
If either party is suffering excessive hardship, they can make an urgent application to the Queensland Civil and Administrative Tribunal (QCAT) for an order to terminate the agreement.
Whatever the situation, both parties should communicate their intention to end the agreement as early as practicable for the best outcome.
For more property management tips and news, check out our videos www.rentalresults.com.au/videos