The policy regarding breaking the lease here is RIDICULOUS. I looked into it when I was offered a job in another city - had to turn it down COMPLETELY because of this policy. Here's what the policy was:
1) You still have to give 60 day notice/are liable for that time after you do give notice - i.e. if you gave notice in Jan that you were moving out in Feb, you would still be required to pay rent through Mar.
2) There is a flat fee equal to one month's base rent - i.e. your rent BEFORE any concessions they typically deduct.
3) You have to pay back all of the concessions that you DID receive but not any that you DIDN'T receive.
Using this information: Standard 12 month lease with $2,000 base rent with a $500 concession (so you only actually pay $1,500/month), here are some examples:
If you cancelled 4 months into your lease, you have a total break lease fee of $4,000 [$2,000 + $2,000 ($500x4 months)].
If you cancelled 7 months into your lease, you have a total break lease fee of $5,500 [$2,000 + $3,500 ($500x7 months)].
If you cancelled 10 months into your lease, you have a total break lease fee of $7,000 [$2,000 + $5,000 ($500x10 months)].
This all seems completely backwards to me as it seems to reward the people who leave sooner rather than those who leave later even though the company is losing out on more guaranteed income on the people who leave sooner.
For example:
If you cancelled 4 months into your lease, the company would lose out on $12,000 they were expecting [$1,500 x 8 months]. Yet the break-lease fee would only be $4,000.
If you cancelled 10 months into your lease, the company would lose out on $3,000 they were expecting [$1,500 x 2 months]. Yet the break-lease fee would be $7,000.
It seems to me that their system could be much improved if you were expected to pay back the concessions you DIDN'T receive (i.e. the months early for which you are leaving) as this would impose greater punishments on those who cancel early thereby allowing the company to collect more of the money they were expecting.
In any case - you DON'T want to break your lease if you can avoid it. These fees are RIDICULOUSLY expensive :(
You can sublet to a 3rd party (basically a lease transfer) for no penalty. As the leasing office described it to us: you're responsible for advertising the apt and finding a tenant. Once you do, they go through the leasing office to get approved, etc. Once it's all said and done, you're lease is voided and the new tenant signs a lease for the remainder of the year or a new 12 month lease.
Make sure you get that in writing if you decide to go that route. When we emailed them that same request this past summer (as we wanted it in writing) - we were told that that was NOT allowed :(
I think you can upgrade with no problems, not sure about the other way around.
ReplyDeleteThe policy regarding breaking the lease here is RIDICULOUS. I looked into it when I was offered a job in another city - had to turn it down COMPLETELY because of this policy. Here's what the policy was:
ReplyDelete1) You still have to give 60 day notice/are liable for that time after you do give notice - i.e. if you gave notice in Jan that you were moving out in Feb, you would still be required to pay rent through Mar.
2) There is a flat fee equal to one month's base rent - i.e. your rent BEFORE any concessions they typically deduct.
3) You have to pay back all of the concessions that you DID receive but not any that you DIDN'T receive.
Using this information: Standard 12 month lease with $2,000 base rent with a $500 concession (so you only actually pay $1,500/month), here are some examples:
If you cancelled 4 months into your lease, you have a total break lease fee of $4,000 [$2,000 + $2,000 ($500x4 months)].
If you cancelled 7 months into your lease, you have a total break lease fee of $5,500 [$2,000 + $3,500 ($500x7 months)].
If you cancelled 10 months into your lease, you have a total break lease fee of $7,000 [$2,000 + $5,000 ($500x10 months)].
This all seems completely backwards to me as it seems to reward the people who leave sooner rather than those who leave later even though the company is losing out on more guaranteed income on the people who leave sooner.
For example:
If you cancelled 4 months into your lease, the company would lose out on $12,000 they were expecting [$1,500 x 8 months]. Yet the break-lease fee would only be $4,000.
If you cancelled 10 months into your lease, the company would lose out on $3,000 they were expecting [$1,500 x 2 months]. Yet the break-lease fee would be $7,000.
It seems to me that their system could be much improved if you were expected to pay back the concessions you DIDN'T receive (i.e. the months early for which you are leaving) as this would impose greater punishments on those who cancel early thereby allowing the company to collect more of the money they were expecting.
In any case - you DON'T want to break your lease if you can avoid it. These fees are RIDICULOUSLY expensive :(
You can sublet to a 3rd party (basically a lease transfer) for no penalty. As the leasing office described it to us: you're responsible for advertising the apt and finding a tenant. Once you do, they go through the leasing office to get approved, etc. Once it's all said and done, you're lease is voided and the new tenant signs a lease for the remainder of the year or a new 12 month lease.
ReplyDeleteMake sure you get that in writing if you decide to go that route. When we emailed them that same request this past summer (as we wanted it in writing) - we were told that that was NOT allowed :(
ReplyDelete