Breaking / Ending a tenancy agreement

[louy]

Breaking a Tenancy Agreement

What is the best way, and at least cost to end a tenancy agreement early ?

We have just started the second year of the tenancy agreement. (Being naive and young, I signed a 2 year agreement just over a year ago). Our personal and financial circumstance has changed a lot over the last year, and we feel that it is best to move to a smaller place.

The Tenancy Agreement has the clause:

“may at any time after the expiration of the first 12 months of the said term be determined on documentary evidence that the immediate occupant: (Which is me) has ceased or about to cease to be employed in Singapore or is to be posted out of Singapore permanently during the said term and the Tenant gives to the Landlord after the first twelve(12)months, two(2) calendar month’s notice in writing of his intention to terminate the tenancy or two(2) months’ rent in lieu of such notice.”

[sundaymorningstaple]

Yes it's fraud. A dip clause needs to be supported by documentary evidence that you are/have given up your residency permit (be it PR or an EP). Otherwise, you are still liable for the balance of the lease and if found that you are in Singapore, you could find yourself up in court.

[x9200]

[quote="louy"]“may at any time after the expiration of the first 12 months of the said term be determined on documentary evidence that the immediate occupant: (Which is me) has ceased or about to cease to be

Is it only you or you together with your spouse?

employed in Singapore or is to be posted out of Singapore permanently during the said term and the Tenant gives to the Landlord after the first twelve(12)months, two(2) calendar month’s notice in writing of his intention to terminate the tenancy or two(2) months’ rent in lieu of such notice.”

[louy]

Yeh, stupid thing is purely in my name.

Guess my only hope is that I get made redundant soon. Fingers crossed

[x9200]

Yeh, stupid thing is purely in my name.

Guess my only hope is that I get made redundant soon. Fingers crossed

You may try to find somebody to take over your lease but I have no idea what are your chances - I would guess very low. Prices 1 year back were higher than today... Even if you agree to contribute some money to the new tenant for the remaining period it may be not attractive enough neither make too much sense for you.

[brittanny]

geez, u may have gotten yourself pwned

best way, and most cost effective to end the tenancy early, is to terminate by way of two(2) months’ worth of rent in lieu of notice.
check whether in your tenancy contract there is a provision that the deposit sum MAY be used to offset against the rental, and frankly speaking most tenancy agreement will not be so pro-tenant
- nego with your landlord and request to use the deposit to be offset against the 2 mths' rent, but i presume that the landlord answer is no
- be prepared that you MAY be asked to fork out 2 mths' rent and be asked to move out immediately, and never see the return of your deposit, and this will be a total of 4 mths' rent all gone within 1 day
- if your landlord is somewhat reasonable he/she will say yes but will withhold 1 mth's rent in case of making good / damages, but in this case make sure there is a letter of acknowledgment by both parties on the arrangement

if strictly interpreted, you can only give notice to terminate if you r already unemployed in sg, or u you r about to be unemployed in sg, or u r posted overseas, and in all 3 circumstances, u must produce documentary evidence

the only bit you may be able to play around it : u resign and be considered unemployed in sg until the expiry of term, but question is can you afford to be unemployed for more or less 10mths?

also, if your landlord is too free for his/her own good, you will b watched over n be monitored, and if you give notice by way of fraud, he/she may file/lodge with Small Claims Tribunals to recover costs n loss of rent for the remaining term

all in all, worst case scenario it is either 4 mths vs. 10 mths (with or without costs, depending on the claim)

don't worry no opportunity for u to be going to prison here for this case, rest assured

btw r u sure that it is safe to post here since its public forum n errr, your landlord may b reading your post?

[nick.wakefield]

We wanted to leave our tenancy early (we found a nicer apartment), and our tenancy agreement had a clause which allowed us to sublet. We approached the landlord wanting to get out of the lease early, and pointing out that she would invariably get more for the apartment if she let it immediately instead of waiting for our tenancy to expire. However, she didn't see that and instead said we had to stay and couldn't sublet.

She said she would let it out, but she was asking way above market rental, and only wanted to let it out a month before our lease was due to expire - and 3 months later than we wanted.

According to our legal advice we were entitled to terminate the lease early (we weren't using the diplomatic clause as we were staying in Singapore) and the landlord had a duty at law to mitigate her loss. This means that the landlord must, acting reasonably, try and re-let the apartment at a fair market rate. It also meant that if she re-let the property she couldn't still charge us rent for the same period.

We were entitled by our lease to sublet the property and the landlord could not unreasonably withhold permission.

As we had the law on our side though, we advertised the property for a short-term let, and had the landlord meet the prospective tenants. We sub-let the property for the remainder of our lease, and we continued to pay the rent, and received the (same) rent from our tenants.

We were also concerned that our landlord may keep our two months deposit (I have heard of this happening on a regular basis and for very flimsy excuses). We decided not to pay the last month's rent (trying to reduce how much the landlord might want to keep as she had been a quite difficult landlord).

She actually didn't say anything about that, and we also received back half of our security deposit (she kept the other half being the month's rent we owed her), and she was pleased with the condition of the property when we returned it to her.

The only long-term problem I have had is I still get real estate agents ringing and sending me SMS message about apartments for sale or rent, and wanting to know whether I still had the apartment (from mid 2008) and that is very frustrating. I have removed all adverts that I placed but obviously once they get your number ...

The people I sublet to didn't come through an agent, I can't remember where now though.

I used this forum to advertise, and some real estate forums as well.

Good luck.