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
When you move out of the rental property - whether out of choice or due to eviction-- do you still owe money but it doesn't necessarily mean the end of your financial relationship with your landlord. Many tenants are surprised to find out that they could be held responsible for unpaid rent or other lease obligations, even after they have left the property. Understanding the way this debt works and the reasons it persists is essential for anyone who has to navigate the renting process.
When an individual signs a lease, it is considered to be a legally binding agreement. This means that the rent due under the lease will be due in accordance with the lease's clauses, even if a tenant is no longer living in the unit prior to the date that the lease expires. In most cases landlords are entitled to pursue rent unpaid through formal collection methods, which include the courts and collection companies.
The most common scenario occurs when a tenant is forced to leave before the lease expires. For instance, if a tenant is on an agreement for 12 months and they move out after eight months without negotiating an early termination agreement, the remaining three months' rental might remain due. In some jurisdictions, landlords have a legal obligation to reduce the tenant's debt by attempting to re-rent the unit. However, the tenant who originally rented the unit may still be held liable for rent until the tenant can be found or the lease is formally terminated.
In the event of an eviction rent debt may grow even more. A eviction usually follows a period of missed payments, and by the time the legal process concludes the tenant could have a large amount in rent and court expenses as well as attorney fees. After the tenant has been removed but the landlord is able to pursue any remaining amount owed.
In addition to the rent as well, tenants may be responsible for damage that is above normal wear and tear. If a property requires repairs or maintenance that is beyond normal usage, these costs could add to final cost. Security deposits can help offset some of this debt however they are not enough to cover it all, especially when there is a violation of lease or serious damage.
Rent arrears that are not paid can affect the credit score of a tenant and future housing options. If a landlord is able to obtain an order of judgment or refers the debt to a collection company, it may appear on the credit report of the tenant, making it harder to find a new rental or financing.
When tenants are forced to leave a home, whether involuntarily or as a result of eviction, it's important to obtain an official accounting by the owner. This will help clarify any amount owed and allows the tenant to challenge the incorrect charges, if required. Seeking legal guidance or discussing a payment plan can aid in reducing the long-term effects.
In summary, simply vacating a rental property does not erase financial responsibilities associated with a lease. Be aware of your rights and obligations can avoid surprises and assist you to solve any rental debt 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.