Leases Are Contracts

• A lease is a legally binding contract between two parties, and there are consequences if either party should violate the contract. Therefore, leases cannot be exchanged or traded without the explicit consent of both parties. That said, landlords are often willing to work with a tenant who has a good reason to want to change the terms of his lease (moving for new job or illness in the family and so forth). However, do not expect a landlord to be willing to sign a new lease with you just because you are upset that your neighbor is paying $20 a month less in rent than you.
  
  

Negotiating a Lease

• It is important to consider and negotiate the terms of a lease before signing the lease. If you know you are graduating from school in four months or looking for a new job (or that you might be transferred to another city), you probably don't want to sign a full year lease, even if a discount is offered. It's better to keep signing short-term leases at a slightly higher rate than getting stuck with six months remaining on a year lease and having to pay big penalties to get out of it.
  
  

Getting Out of a Lease

• Unless you have a good relationship with your landlord, you are likely to have to pay some kind of penalty for breaking your lease. However, landlords are often willing to work with tenants, especially if you have a good reason. Let's say, for example, that you just signed a new one year lease on an apartment, but you got an offer for a good job in another city beginning in four months. Many landlords will be willing to let you break the old lease if you will pay the (often large) subletting fees for them to find a new tenant. Some leases even have specific clauses written in specifying the penalties or sublet or opt-out fees for breaking a lease.
  
  

Vaild Reasons for Breaking a Lease

• There are three circumstances under which you can legally break your lease in most states. The first is if your leased home or apartment is seriously damaged by a natural disaster or crime. The second is if you are called to active military duty (both federal and state laws), and the third is if you become seriously ill.