What is a Lease Termination Agreement?

A Lease Termination is needed when a Lease or Rental Agreement between a Landlord and Tenant is being ended.

There are two ways to end a lease and get both parties off the hook from their obligations:

If only ONE party wants to end the relationship, the Landlord or Tenant may unilaterally send a Notice of Termination to the other party.
If BOTH parties agree, the Landlord and Tenant may sign a mutually agreed upon Termination Agreement.

A simple Lease Termination or Notice of Termination will identify the following essential elements:

Landlord: name of the party who owns the Premises being rented
Tenant: name of the party who rents the Premises and pays the Landlord
Original Lease Agreement: name, start, and end date of the agreement
Vacate Date: when the tenant will move out and leave the property
Forwarding Address: where to send future notices or security deposit
Reason for Termination: an explanation for ending the agreement

A Notice of Termination can be used to end an agreement early or to confirm that an expiring lease term will not be renewed.

a house on top of jenga blocks displays a risky situation — Terminating your lease early can feel like a risky business. Make sure you stay on the right side of the law.

As a reference, a Lease Termination goes by several other names:

Early Lease Termination Letter
Notice of Lease Termination
Notice of Termination
Notice of Terminating Tenancy
Notice to End Tenancy
Release of Lease Agreement
Termination Agreement

Use our eviction notice template to end a month-to-month or weekly tenancy.

When Do I Need a Lease Termination Letter?

Some Rental Agreements require notice to be sent if the landlord-tenant relationship will end. If you want to end your agreement early, use a Notice of Termination to communicate the need to terminate the agreement officially.

For example, a yearly rental agreement may automatically renew unless one month or two months’ notice is given. The advanced warning gives the Landlord time to find another renter and provides the tenant enough time to find a new home.

Some states require a minimum of days’ notice to be given to a Tenant before ending a periodic or month-to-month tenancy. Prepare an eviction notice with the statutory minimum notice requirements for periodic tenancies.

When the landlord is going through eviction with a tenant, a notice or agreement shows the court that the Landlord gave a fair warning. Hopefully, the Landlord has been documenting all the written letters and notices sent to the tenant. A good paper trail can save the Landlord time if a judge becomes involved.

As the tenant, you may have an excellent reason to end your agreement early. A Tenant’s Notice of Termination to the Landlord can explain why you believe the Landlord has violated the Implied Warranty of Habitability and why you need to end the agreement and find a warm home for your family.

If you have asked your Landlord to fix the heater during the winter with no luck, you may find it helpful to send a final letter.

Why You Should Use a Lease Termination Letter

The court may not sympathize with your situation if you do not use a Lease Termination Letter. The law does not look well upon Tenants who move out without notice or Landlords who kick out their Tenants without any advanced warning.

Society is better off when people expect their one-year Rental Agreement to be honored.

Instead of simply leaving, Tenants are expected to have adult conversations with their Landlords about why they need to go. Tenants can offer to sublet the place to another trustworthy person or give the Landlord a chance to fix the heater (if they haven’t already).

Here are some of the possible consequences of not using a Termination Letter.

Landlord’s Consequences	Tenant’s Consequences
Loss of Money Refund security deposit Court finds you guilty of a constructive eviction for not maintaining the home	Loss of Money Loss of security deposit Payment of rent owed for the remainder of the lease
Loss of Time Attend Court Proceedings Find and hire an attorney	Loss of Time Poor rental history makes it difficult to find a new place
Mental Anguish Tenant sues for hardship of not finding a new home	Mental Anguish Legal action from the landlord for rent owed Bad credit for seven years if a judge issues a credit judgment

The Most Common Situations For Termination

People often need a lease termination when circumstances change for the tenant or the landlord.

Here are some common situations when you must end a lease early and leave before a rental agreement expires.

Landlord	Tenant
Selling the home, condo, or apartment	Moving for a new job or marriage
Property being foreclosed	Need for a different space that allows for children or pets
Remodeling the premises	Housing code violations have created unsafe or hazardous living conditions
Property taken under eminent domain for public use like a new library	Unable to live in the home because the Landlord has repeatedly failed to fix the heater or air conditioner
Landlord required by police to remove Tenants suspected of gang or drug-related nuisance (selling drugs)	Premises destroyed or become partially unlivable or unusable
Initiating the eviction process because the tenant did not pay rent or broke lease	Leave for military service
Natural disaster like a flood or earthquake destroyed the place	Family health problems

How to Write a Lease Termination Letter

A simple Lease Termination Letter will address the following:

When the tenant must leave and whether the landlord should do a walkthrough
Where should the landlord forward future notices or security deposit
Why the Rental Agreement is being ended or not renewed
What are the original start and end dates of the Rental Agreement

Free Lease Termination Letter

What is a Lease Termination Agreement?

Alternative Template

When Do I Need a Lease Termination Letter?

Why You Should Use a Lease Termination Letter

The Most Common Situations For Termination

How to Write a Lease Termination Letter

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