FAQs

1.Break lease

Break Lease Clause Summary (for Fixed-Term Agreements):

According to Section 89A of the Residential Tenancies Act, if a tenant ends a fixed-term agreement before the end of the term (unless permitted by law or the agreement), the lessor may require the tenant to pay a break fee as follows:

  1. Break Fee Calculation:
    • For a fixed term of 3 years or less:
      • If less than half of the term has expired, the fee is 6 weeks’ rent.
      • If more than half of the term has expired, the fee is 4 weeks’ rent.
    • For a fixed term longer than 3 years, the break fee is agreed upon by the lessor and tenant.
  2. Advertising Costs:
    • If the tenant vacates during the first half of the fixed term, the reasonable advertising costs are limited to 2/3 of one week’s rent.
    • If the tenant vacates during the second half of the fixed term, the advertising costs are limited to 1 week’s rent.
  3. Lessor’s Responsibilities:
    • The lessor must take reasonable steps to find a new tenant.
    • If a new tenant is found within the defined period after the tenant vacates, the tenant’s break fee will be reduced by the amount of rent the new tenant pays.
    • If the tenant vacates more than 4 weeks before the end of the fixed term, the lessor may charge reasonable costs (not exceeding the defined cost limit) for advertising the premises and finding a new tenant.
  4. Exemptions:
    • This clause does not apply if the agreement is terminated due to:
      • Aged care or social housing needs (Section 46A)
      • Premises being sold (Section 46B)
      • Family violence (Sections 46D & 46G)
      • Other legally recognized termination reasons.

For more details, refer to the relevant sections of the Residential Tenancies Act.

2.Notice to vacate

17. Ending a Tenancy The tenant must give notice to vacate a tenancy (1) at the end of a fixed term tenancy on giving a minimum 3 weeks’ notice of intention to vacate; (2) any time during a periodic tenancy on giving a minimum 3 weeks’ notice of intention to vacate;. (3)The tenancy ends on the date specified by the tenant.

Here are more details from ACT government.