Why You May Still Owe Money After Moving Out of a Rental Unit
Why You May Still Owe Money After Moving Out of a Rental Unit
Blog Article
The moment you leave the rental property - whether out of choice or due to eviction-- do you still owe money but it doesn't necessarily mean the conclusion of your financial relationship to the tenant. Many tenants are shocked to learn that they can still be held accountable for non-paid rent or other lease obligations, even after they have left the property. Understanding how this debt works and the reasons it persists is important for anyone navigating the renting process.
If an individual signs the lease, it's considered to be a legally binding contract. The rent due under the lease continues to accrue according to its clauses, even if a tenant moves out of the unit before the lease ends. In many cases landlords have the option to pursue unpaid rent through formal collection actions, such as legal actions and collection companies.
A common situation occurs when a tenant leaves prior to the expiration date of the lease. For example, if an individual is in the middle of 12 month lease and then moves out after 8 months without negotiating an early termination agreement, the remaining three months' rental may still be owed. In certain states landlords have a legal obligation to ease the tenant's debts by trying to rent the unit. However, the tenant who originally rented the unit may still be held liable for rent until the new tenant is identified or the lease expires naturally.
In cases of eviction the rental debt could build up even faster. A eviction usually follows a period of missed payments. By the end of the legal process, the tenant may already have a large amount in rent and court expenses and possibly even attorney costs. After the tenant has been removed from the property, the landlord may seek to recover any outstanding balance.
In addition to rent and other charges, tenants could be held accountable for damage that is above normal wear and tear. If a property requires repairs or cleaning that goes beyond the normal usage, the cost could add to total bill. Security deposits can help offset some of this debt however they are not enough to can be used to cover all the costs, particularly in cases of lease violations or serious damage.
Unpaid rental debt can impact the credit score of a tenant and future housing options. When a landlord wins a judgment or sends an account to a collection company, it could show up on the credit report of the tenant which makes it difficult to rent elsewhere or get financing.
For tenants leaving a property--whether voluntary or in response to eviction, it's important to obtain an accounting in writing of the property's owner. This can help to clarify any debts due and permits the tenant to challenge the incorrect charges, if required. Inquiring for legal advice or negotiation of a payment plan could be a good idea to reduce the negative long-term impact.
In summary, simply vacating a rental property does not eliminate financial obligations that are tied to a lease. Be aware of the rights you have and your obligations could prevent surprises and help you deal with any rental debts more effectively.
Moving out of a rental unit—whether by choice or due to eviction— do you still owe money not necessarily mark the end of your financial relationship with the landlord. For more information please visit what happens when you get evicted for not paying rent.