What Is a Sublease Agreement?
A sublease agreement is a legal document that allows a tenant to rent out their property to another person, known as a subtenant. This process typically requires the tenant to get the landlord’s approval unless the original lease explicitly allows it.
In a sublease, the subtenant is subject to the terms and conditions of the original lease. Additionally, the actual tenant remains solely responsible for damages, rent payment, and any breach of the initial lease agreement.
Roommate vs. Subtenant: What’s the Difference?
The main difference between a roommate and a subtenant comes down to the type of rental agreement signed:
- Roommate — A roommate is another individual who lives in the same rental property and is typically a signed party to a lease agreement.
- Subtenant — A subtenant is an individual who is a signed party to a sublease agreement and who leases the property from a tenant rather than a landlord.
How to Write a Sublease Agreement
Include the following sections when drafting a simple sublease agreement:
- Premises: address and description of the residence that is being leased.
- Tenant: full name and address of the original tenant.
- Subtenant: full name and address of the subtenant taking over the lease.
- Term: when the sublease will begin and end.
- Original Lease: details of the original lease, including the date and landlord.
- Rent: the amount of money the subtenant pays to the tenant each month.
For a more in-depth look, this step-by-step guide will help you create a sublease agreement and start subletting your property.
Step 1 – Describe the Premises
When creating your sublease agreement, your first step is to describe the property and include the address. It is essential to define precisely what the sub-tenant will rent, for example, a single room or the entire rental unit.
Step 2 – Name the Tenant and Subtenant
Include the names of the original tenant and new sub-tenant in the sublease agreement.
Step 3 – Outline the Terms of the Sublease
Decide how long you would like to sublet the property to your sub-tenant. This is known as the “term” of the sublease.
A subtenant does not necessarily need to sublet the rental property for the same time as the original tenant’s lease. For instance, the sublease agreement could be month-to-month or for a fixed term.
Step 4 – Explain the Details of the Original Lease
Your new subtenant must know of any provisions in the original lease agreement.
For example, if pets are allowed on the premises or smoking is prohibited in the rental unit, include this information in the document. A general statement explaining that the sublease and sub-tenants must comply with the original lease is also sufficient.
Step 5 – Determine the Rent Amount
Here, define precisely how much money the sub-tenant owes each month. This sub-tenant will pay this amount to the original tenant unless otherwise stated.
If the sub-tenant fails to pay rent or causes damage to the property, the original tenant is liable to the landlord. If the sub-tenant breaks a sublease agreement, the original tenant is solely responsible for remedying the situation.
Other standard provisions found in a sublease contract include:
- Landlord Approval: if the original lease requires, the tenant must get written approval.
- Sublease Security Deposit: how much the subtenant must pay as security against damage.
- Late Fees: how much extra the subtenant must pay if rent is not paid on time.
- Utilities: whether utilities are included or whether the subtenant must pay for utilities.
- Furnishings: whether or not the premises will be furnished.
- Alterations: usually, the subtenant is not allowed to make any alterations to the premises.
- Policies: whether things such as smoking, pets, or subletting are allowed.
How to Sublease an Apartment
If you are curious how to sublease an apartment or house, we explore the steps for subletting as either a subtenant or an original tenant.
Subletting as the Original Tenant
If your name is on the lease agreement for your apartment, you’re the current tenant. Your landlord may allow or forbid sublease agreements, so it’s essential to read your lease agreement carefully before deciding to sublease.
Here are the most common steps
- Notify the landlord of your intent to sublet
- Post the sublet online
- The following websites are popular resources for finding reliable subtenants:
- Airbnb
- Craiglist
- Flip.lease
- Short Term Housing
- Sublet
- The following websites are popular resources for finding reliable subtenants:
- Show the property to potential subtenants
- Sign a sublease agreement
Once you sign a sublease agreement, you remain fully responsible for paying rent, handling utilities, and keeping your property in good condition.
The separate sublease agreement between you and the subletter exists independently of the original lease agreement between you and your landlord.
Subletting as a Subtenant
You’ll become the subtenant if you seek (or have been offered) short-term housing from an original tenant. Your process is slightly different, with your most significant concern finding a legitimate, reliable sublet opportunity you can trust.
Follow these steps for subletting success as a subtenant:
- Search for sublet availability on subletting websites like Sublet.com and Airbnb.
- Review the original lease to understand the landlord’s expectations.
- Negotiate your sublease terms to create a fair agreement.
- Photograph and note existing damage in a rental inspection checklist.
- Sign the sublease agreement.