Pros & Cons of Breaking Your Rental Lease in Brisbane

A rental lease binds the tenants and landlords in a legal contract that is used as a roadmap for the tenancy period. It must be read thoroughly before signing the dotted line to understand the terms and conditions. While most people think that fixed-term agreements cannot be interrupted, it is far from the truth. Every lease can be terminated before the end of the term. The tenant and landlord must know the reasons that allow them to break the rental lease.

They should also be aware of the financial consequences. Breaking the lease is not difficult but requires following certain obligations to avoid reeling under stress and getting into disputes. It is sensible to break the lease only when facing unexpected circumstances that call for moving out of the rental property.

Here is a list of the pros and cons of breaking a rental lease in Brisbane. It will help you decide whether you should complete the term or end it early in a difficult situation requiring relocation.

Pros of Breaking the Rental Lease in Brisbane

Tenants can end a fixed lease agreement before the term for various reasons, such as breach of contract or damaged property. Here are the benefits of terminating the lease.

1. Find A Cheaper Rental Property

Tenants can break the lease at the end of the fixed-term agreement to avoid paying a higher rent and find a more cost-effective option within budget. This does not require any valid reason and can be done by providing a notice of intention to leave to the property manager or owner.

2. Exit An Uninhabitable Property

An extremely dirty or damaged house is not fit for living and can affect the mental and overall well-being of family members. In such cases, tenants have the right to end the agreement within a week of the beginning of the tenancy. To avoid such situations, rental providers must ensure they get the property spruced up by bond cleaning Brisbane experts.

3. Get Relief From Excessive Hardship

Renters can leave the property before the lease ends if they face excessive hardships. They must apply to the Queensland Civil and Administrative Tribunal (QCAT) to get an order for immediate termination of lease. However, the tenant has to pay compensation. Examples of excessive hardships include the inability to pay rent due to sudden unemployment, forced relocation because of work commitments, etc.

4. Negotiate Compensation With the Property Owner

If the tenant and the property owner agree to end the lease early on a specific date, they can discuss reducing the associated costs. For example, the compensation can be negotiated by helping the owner find a tenant, which reduces the cost of advertising. Tenants can also hire bond cleaning Brisbane service providers to prepare the property for inspection by potential tenants. It helps to reduce the losses of the owner and bring down the compensation.

Cons of Breaking the Rental Lease in Brisbane

Breaking the rental lease before the term ends can create several problems for tenants. These include:

1. Paying Compensation to Landlords

Breaking a rental lease disturbs the steady flow of rental income for the landlord. Thus, to protect the property owner from losses due to an abrupt termination of the lease, the tenant has to pay the rent for the remaining part of the tenancy or until the property is re-let. They also have to pay for advertising and restoring the property to its original condition with the help of reputed bond cleaning Brisbane professionals.

2. Finding A New Rental Property

After breaking the lease, the tenants have to retrieve the bond and find a new rental property. They have to again pay the bond and move all the belongings within a short period to start afresh. Moving and finding new properties in difficult situations like a forced relocation can be challenging. It can take a financial and physical toll on the renters.

3. Disputes With the Landlord

Breaking the lease is not always smooth and streamlined. Sometimes, the landlord may not agree to the early termination and question the grounds for breaking the lease. If the matter is not resolved through mutual discussion and compensation negotiations, it has to be taken to the RTA for dispute resolution. If things are not settled even at the RTA, the parties have to apply to the QCAT for judgment.

4. Tarnished Rental History

When the tenant breaks the rental lease, it leaves a black mark on their rental records. Most property owners do a background check on the tenants before signing the lease. Thus, if they identify early termination of the lease in the historical data, they will not be willing to offer the rental property. It decreases the trust factor, and if there is any unpaid rent from the compensation, it will become impossible to find a new property.

What Are The Pros and Cons of Breaking Your Rental Lease in Brisbane

Wrapping up

Breaking the rental lease should be the last resort of tenants facing a challenging situation because it involves several expenses and unforeseen issues. Tenants must understand their rights and read the lease agreement carefully before terminating the lease early.