How Easy is It to Remove Someone From a Lease

06 Apr How to Remove a Tenant From the Lease

Posted at 09:36h in Tenant Topics

In cases where we have two or more tenants listed jointly on a lease, we sometimes get a request to remove one of the tenants with the remaining tenant(s) staying on.

Usually the process is started by one of the tenants contacting their property manager to inquire into the process. This sometimes is the tenant wanting to be removed and other times it's one of the other tenants who wants to stay and have one of the others removed.

We've seen the reasons for this run the gamut. Many times it's due to the separation or divorce of domestic partners and one of them is going to go their own way. It can be friends who are roommates who find themselves better friends when living apart than when living together.

Other times it's not so much a negative situation between the tenants but instead one of friend roommates is getting more serious with a non-roommate partner and wants to move in with, or get married to, their partner.

Regardless of the reason, removing someone from the lease unfortunately isn't a quick, cut and dry, situation like many of our inquiring tenants think it is, and we evaluate each request on a case-by-case basis.

If you're reading this, there is a good chance you're one of our tenants who either found this post on your own, or we directed you to it to learn about the process. Without knowing the specific circumstances, we have listed the 3 primary scenarios most of these situations fall under and how we handle each:

Scenario 1 – Remaining Tenant(s) Qualify to Rent without the Removed Tenant's Income

If the remaining tenant(s) on the lease can qualify to rent the property without the credit & income of the tenant being removed, we can execute a new lease with the remaining person(s). There is a $200 lease modification fee that will be assessed and must be paid in advance of a new lease being drafted

Additionally, the person being removed has to sign a written statement that they waive all rights to the security deposit we are currently holding and that they have no expectation of us (Integrity Realty & Management) to refund or account for any portion of the deposit to them, now or in the future when the remaining person(s) move.

Scenario 2 – Remaining Tenant(s) Can't Qualify without the Removed Tenant's Income

If the remaining tenant(s) cannot qualify to rent the property without the credit & income of the tenant being removed, we cannot remove the tenant from the lease and they must stay on as a guarantor. Whether they chose to still move out or not is irrelevant to them staying on the lease. This means that if they choose to move out and rent is not paid by the remaining tenant(s), we have to file eviction against all names on the lease including the tenant who already vacated.

Additionally they are submitted to collections for any unpaid balances regardless of if they vacated.

It's the same as if you purchase a home and your name is on the loan. Simply moving out would not remove you from being a guarantor on a mortgage note, and the same goes for the lease. As long the remaining tenant(s) continue paying and honoring the terms of the lease, it won't affect the tenant who moved.

Scenario 3 – Situations Involving Domestic Violence

The last scenario deals with domestic abuse and needing to either remove the abuser or remove the abusee. Either case is highly complex and there are Colorado laws in place to protect abused individuals rights as they pertain to the lease in that case. If you are in this situation, we advise you to immediately call your property manager to go over your options.

If you have any other questions or feel you have a scenario not covered here, please contact your property manager or call our office at (303) 847-0130 so we can work through it with you.

Ben Parham is the President and Managing Real Estate Broker of Integrity Realty & Management, Inc., a cutting edge real estate sales and property management brokerage operating throughout the Greater Denver Area. Ben also served as the 2018 President of the Denver Chapter of the National Association of Residential Property Managers (NARPM) and has served as a NARPM National Southwest RVP Ambassador. Ben is a U.S. Navy veteran where he served as a Cryptologic Technician (Technical) and was awarded the Joint Service Achievement Medal, two Navy Achievement Medals, and a Good Conduct Medal. He has a Bachelor of Science in Business Administration and is licensed as a real estate broker in both Colorado and Florida.

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Source: https://www.integrityrm.net/how-to-remove-a-tenant-from-the-lease/

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