What Is Sublet Housing?
Sublet housing allows the person renting a space (tenant) to lease that space to someone else (sub-lessee). In locations such as urban areas where many people live in rented spaces, there are many subletting options available to those who are looking to rent a temporary place of residence. People who travel to other locations with the change of seasons, students who leave college towns for the summer and individuals who obtain jobs in temporary locations all may have a need to sublet. While subletting can be convenient for everyone involved, it can lead to legal troubles without proper planning and documentation.
Communicate with Landlord or Owner
The landlord or owner of the property must be notified of the sublet and must approve it unless otherwise specified by the original lease. Laws on subletting vary from state to state. In some states or locations, subletting is common and landlords cannot unreasonably withhold the right to sublet. In other locations, subletting is less common and landlords are not obligated to permit a sublease. If a sublet is to take place, all parties must agree to the terms and conditions of the lease. The landlord and the tenant should meet and discuss the process and prepare a written approval document. All possible options should be discussed and an alternate plan should be determined ahead of time in case a tenant cannot return to the space in the time specified.
Obtain Sub-Lessee's Credentials
The landlord or the tenant should follow steps to ensure that the sub-lessee is responsible and honest. A background check, credit check and reference letters should be obtained. The tenant should collect a security deposit from the sublessee to ensure that any damages or contract violations are covered.
Determine Responsiblities of Tenant and Subletter
When subletting an apartment, the tenant should discuss the responsibilities of both the tenant and the sub-letter ahead of time. The sub-lessee should be told who to call in case of an emergency or maintenance issue, how to submit the rent payment and procedures for late or failed payment. Clear expectations about maintenance issues should be provided. For example, sub-lessees should understand whose responsibility it is to cut grass or shovel snow. Possible consequences of damages caused by accidents or negligence should be discussed. A schedule of dates including possible move-in and move-out times should be determined as well.
Create Legal Documents
The tenant should create a written document outlining the terms of the sublease and require the sub-lessee to sign it. All aspects of the agreement should be provided including the rent amount and the date due. Most states have laws that prevent a tenant from profiting from a sublease. While it is acceptable for the tenant to recover all costs related to the sublease, the tenant is not permitted to make money from subletting a space. Information about responsibliity for damage to the property, accidental losses and maintenance should be included in the sublease. Additionally, the tenant should check with the renter's insurance company ahead of time to determine if any changes should be made or a new policy secured.
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