How to Create a Sublet Contract
by, 07-07-2012 at 03:14 AM (16618 Views)
So you got a new job somewhere else and have to leave much sooner than your lease will run out. If this is the case or any other situation has come up forcing you to break your lease, you can take use of the following information on how to use a sublease to deal with the situation. It's not always the right decision, nor is it always an option, but it is certainly something to consider.
First Step: Get Approval From Owner or Property Manager
Just about all rental agreements have conditions that if you're going to sublease, the landlord must approve of the new tenant who will be subletting. Review the lease to find out if this is the case with your agreement and then contact the property manager or owner to confirm what details you'll need to provide them to make sure they can have a chance to approve the new potential sub-lessee. This potential subleasing tenant should generally go through the same application routine that you went through. Find out what your landlord will need to allow your sublease to be prepared properly. In many instances the property manager won't allow your sub-lessee to be placed on the contract in your place, because they like to have more safety in having your name still on the line. But if it's possible, it's preferable unless you place to return after only a portion of the lease has passed.
Second step: Find Someone to Sublet
Subleasing your dwelling to sisters or boyfriends, or other family like cousins and even former roommates generally doesn't present the best possible outcome, because you're always going to be on the hook, and these kinds of people don't necessarily typically respect you as a third party as much as someone with whom you have more of a handshake's distance from. Certainly as a minimum, you'll want to obtain references, credit reports, and other supporting documents such as former residences to confirm that you're going to be able to get the rent money out of the sub-lessee or to make sure that your landlord get's the money. This is important because generally your financial credit rating will remain on the hook for the remainder of the original lease term.
Naturally, the possible sub-lessee will need to have maintained a solid rental history as well as show the financial ability through having employment. Generally, you'll want someone who has a good reason to need to sublease. One of the common reasons for a person to want to sublet include needing to be in the area for a shorter than typical leasing period, such as a few months or more. One of the dangerous reasons for them wanting to sublet (and that you'll need to be cautious and watch out for are reasons like having a poor rental history and a bad credit rating. They could ruin your good credit rating and rental history, so make sure you vet your candidates properly and find a sub-lessee who's going to pay rent on time and not beat up the apartment.
The third step: Drawing Up and Signing Sublease Contract
When drawing up an agreement, make sure you confirm several things, like the amount for monthly rent, where rent money will be paid (i.e. will they pay you and you'll pay the landlord, or will they pay the original landlord directly.) Some owners and property managers don't accept new sublease tenants' money so it will be important to confirm this. Generally, though, the landlord is going to accept the money when it comes right down to it, so this is less of an issue typically.