Get Inman via Facebook Messenger
Our top headlines delivered once a day.
by CareyBot

Q: My tenant of several months moved out, breaking his year's lease with seven months left on it. The lease has a termination-fee clause in which he agreed to pay 1 1/2 month's rent if he moves out early. I took that money out of his security deposit. Because housing is tight here, I was able to re-rent within a week. Do I have to return this fee? --Andre Z. A: Termination fees, which compensate the landlord when a tenant leaves early, are increasingly popular, and some states are catching on and beginning to allow them. Here's how they work: The lease specifies that a certain amount will be due if the lease is broken, regardless of whether or when the landlord finds a new tenant.This agreement changes the default rule that applies in most states: Normally, the landlord must make ...