Rental Debt After Moving: What Landlords Can Still Legally Collect
Rental Debt After Moving: What Landlords Can Still Legally Collect
Blog Article
When you move out of a rental unit--whether by reason of choice or because of expulsion do you still owe money not necessarily mark the end of your financial relationship to the tenant. A lot of tenants are shocked find out that they could be held accountable for non-paid rent and other lease obligations, even after they no longer occupy the unit. Understanding the way this debt works and the reasons it persists is important for anyone navigating the rental process.
When a tenant signs a lease, it is considered a legally binding agreement. That means the rental owed 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 unpaid rent through formal collection methods, which include court actions and collection companies.
The most common scenario occurs when a tenant is forced to leave before the lease term expires. For instance, if the tenant is on an agreement for 12 months and they move out after eight months without negotiating an early termination agreement in the meantime, the three months' rental could still be owed. In certain states landlords have a legal obligation to ease the debt of a tenant by trying to rent the property. However, the tenant who originally rented the unit is still liable for rent until the new tenant is identified or the lease naturally expires.
If eviction is a possibility the rental debt could grow even more. An eviction typically follows the occurrence of missed payments. By the end of the legal process, the tenant may already be owed several months' worth of rental, as well as court expenses and possibly even attorney costs. Once the tenant is removed but the landlord is able to seek to recover any outstanding balance.
In addition to the rent as well, tenants may be responsible for damage that is that go beyond ordinary wear and tear. If the unit needs repair or cleaning that exceeds typical usage, these costs could add to final bill. Security deposits may help in reducing the burden, but rarely can be used to cover all the costs, particularly in the case of lease violations or serious damage.
A rental loan that is not paid in full can negatively impact the credit score of a tenant and future housing options. When a landlord wins a judgment or refers the debt to a collection agency, it might show up on a tenant's credit report which makes it difficult to find a new rental or financing.
For tenants leaving a property--whether voluntarily or due to eviction--it's important to obtain an official accounting of the property's owner. This helps clarify any amounts due and allows tenants to contest incorrect charges when needed. Finding legal advice or discussing a payment plan can be a good idea to reduce the negative long-term impact.
In the end, simply leaving a rental property does remove financial obligations associated with a lease. Staying informed about what your legal rights are and obligations will save you from surprises and help 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 if you get evicted.