How to Navigate Early Lease Terminations: Communicating with Tenants Breaking Their Lease
Breaking a lease before the term has ended can be challenging for both property owners and tenants. However, with clear communication and a an empathetic approach when required, property management companies can handle these situations effectively while adhering to Alberta tenancy laws. At Berton Properties, we prioritize finding solutions that balance tenant needs with landlord interests, while ensuring no undue costs incurred to the property owner.
1. Start with Empathy and Understanding
When a tenant approaches you about breaking their lease, begin by understanding their reasons. Life changes such as job relocation, family emergencies, or financial difficulties can be overwhelming.
💡 Tip: Show empathy by listening to their situation and expressing a willingness to collaborate. This sets the stage for a respectful conversation.
2. Reinforce Alberta Tenancy Laws
While it’s essential to empathize, it’s equally important to educate tenants on their legal obligations. Under Alberta’s Residential Tenancies Act, tenants are required to fulfill their lease agreements unless both parties mutually agree to terminate early.
🔑 Key Points to Communicate:
The lease is a legally binding document.
Tenants may need to continue paying rent until a new tenant is secured.
Any penalties for early termination must align with the terms of the lease.
The tenant may be held liable for the difference in rent should you need to lower market rent to secure a new tenant.
Alberta is considered to have favourable tenancy laws, read more about these advanttages.
3. Offer Potential Solutions
Collaborate with tenants to find a resolution that works for both parties. Options may include:
Tenant Replacement: Allowing tenants to find a qualified replacement who meets your screening criteria.
Early Termination Fee: Charging a pre-agreed fee to cover your costs associated with re-renting the unit.
Flexible Exit Plan: Setting a clear timeline for when the tenant must vacate while continuing to meet their obligations.
💡 Pro Tip: Document all agreements in writing to avoid misunderstandings.
4. Communicate Clearly and Professionally
When responding to a tenant’s request, ensure your communication is clear, professional, and solutions-oriented. Use language that is empathetic but firm, highlighting both their responsibilities and your willingness to assist.
💬 Example Statement:
"We understand that circumstances change, and we want to support you. Here are the options available under your lease agreement and Alberta tenancy laws."
5. Market the Unit Quickly and Efficiently
Once an agreement is reached, prioritize finding a new tenant. A proactive approach to marketing the unit minimizes vacancies and financial loss. Berton Properties specializes in fast and effective tenant placement to keep your property performing optimally. Make sure that in your haste you don’t skip the important step with due dilligence and tenant screening.
Why Choose Berton Properties?
Navigating early lease terminations can be complex, but our expert property management services make it seamless. At Berton Properties, we:
Handle tenant communications with empathy and professionalism.
Ensure all actions comply with Alberta tenancy laws.
Minimize vacancies through efficient marketing and tenant screening.
Contact us today to learn how our property management expertise can make leasing stress-free for both you and your tenants.
By approaching early lease terminations with empathy and professionalism, you can preserve tenant relationships, maintain compliance, and protect your property’s profitability. With Berton Properties as your trusted partner, managing lease terminations becomes a straightforward process. Learn how to screen tenants effectively to ensure you always secure great tenants.
