Hardship Letter For Breaking Lease: How To Write It Right!

Breaking a lease agreement can be a challenging and complicated process, especially when financial hardship is the reason. However, in certain circumstances, tenants facing financial difficulties may be able to terminate their lease without significant penalties. 

This article serves as a detailed step-by-step guide to help tenants navigate the process of breaking a lease due to financial hardship.

Step 1: Review your lease agreement

Begin by thoroughly reviewing your lease agreement. Pay close attention to sections related to early termination, subleasing, and any clauses that pertain to financial hardship or lease termination conditions. Understanding your rights and obligations under the lease agreement is crucial before proceeding.

Step 2: Communicate with your landlord

Open lines of communication with your landlord or property management as soon as you encounter financial hardship. Explain your situation honestly and provide any necessary documentation to support your claim, such as proof of job loss, medical bills, or other unforeseen circumstances impacting your ability to fulfill your lease obligations.

Trending Now

Step 3: Understand local laws and regulations

Research local tenant laws and regulations in your area regarding lease termination due to financial hardship. Some jurisdictions may offer specific provisions or protections for tenants facing economic difficulties. Familiarize yourself with these laws to ensure you understand your legal rights and potential options.

Step 4: Negotiate with your landlord

Initiate negotiations with your landlord to explore possible alternatives to breaking the lease. This could include negotiating a payment plan, finding a new tenant to sublease the property, or reaching a mutual agreement to terminate the lease without excessive penalties. Keep records of all communication, including dates, times, and details discussed during negotiations.

Step 5: Document your financial hardship

Gather and organize all relevant documentation that supports your financial hardship claim. This might include pay stubs, termination letters, medical bills, bank statements, or any other evidence that demonstrates your inability to meet your lease obligations. Maintaining a well-documented record will be valuable during negotiations or potential legal proceedings.

Step 6: Explore subleasing or lease transfer options

Check your lease agreement to determine if subleasing or lease transfer is permitted. If allowed, actively search for suitable individuals to take over your lease. 

Advertise the property through online platforms, local classifieds, or by notifying friends and colleagues. Ensure that any potential subtenants meet the requirements set forth by your landlord and comply with all necessary legal processes.

Step 7: Consult with legal professionals

If negotiations with your landlord do not yield a satisfactory resolution or if you encounter obstacles along the way, consider seeking legal advice. Consult with an attorney who specializes in tenant-landlord law to understand the specific legalities and options available to you based on your circumstances.

Step 8: Document property condition and give notice

Before vacating the premises, document the condition of the property thoroughly. Take photos or videos to record the state of each room and any existing damage. 

This documentation will protect you from potential disputes over the security deposit or claims of property damage. Once the documentation is complete, provide written notice to your landlord, adhering to the notice period specified in your lease agreement.

Step 9: Settle outstanding obligations

Ensure that all outstanding financial obligations are settled before vacating the property. This includes rent payments, utilities, and any other fees or charges stipulated in your lease agreement. Request a final statement of account from your landlord to verify that all balances are clear.

Step 10: Vacate the property and return the keys

On the agreed-upon date, vacate the property, remove all personal belongings, and return the keys to your landlord or property management. If possible, conduct a final walk-through with your landlord to address any concerns and ensure both parties agree on the property’s condition upon departure.

Step 11: Follow up and keep records

After you have vacated the property, keep copies of all correspondence and documentation related to the lease termination. This includes your notice to terminate the lease, any agreements or settlements reached with your landlord, receipts for outstanding payments, and the condition documentation of the property. These records will be valuable if any disputes arise in the future.

Step 12: Update your address and forward mail

Make sure to update your address with the post office and notify any relevant parties, such as banks, credit card companies, and government agencies, of your new address. Consider setting up mail forwarding to ensure you receive any important documents or correspondence during the transition.


Breaking a lease due to financial hardship can be a complex process, but by following these step-by-step guidelines, you can navigate the situation more effectively.

Remember to communicate openly with your landlord, understand your rights under the lease agreement and local laws, and document your financial hardship and the condition of the property. 

Explore negotiation and subleasing options, consult legal professionals if necessary, and settle all outstanding obligations before vacating the property. By following these steps, you can increase your chances of successfully terminating your lease while minimizing potential penalties or legal complications.

Sample Letter to Break Apartment Lease

[Your Name]
[Your Address]
[City, State, ZIP Code]
[Email Address]
[Phone Number]

[Landlord’s Name]
[Landlord’s Address]
[City, State, ZIP Code]

Subject: Notice of Lease Termination due to Financial Hardship

Dear [Landlord’s Name],

I hope this letter finds you well. I am writing to inform you of my current situation and request the termination of my apartment lease due to financial hardship. I have been a tenant at [Apartment Address] since [Lease Start Date], and I have greatly appreciated my time living in the property.

Unfortunately, unforeseen circumstances have impacted my financial stability, making it increasingly difficult for me to meet the obligations outlined in the lease agreement. [Explain your financial hardship briefly and provide any supporting documentation, such as termination letters, medical bills, or pay stubs].

I have thoroughly reviewed the lease agreement and understand that breaking the lease may result in penalties or financial obligations. However, I kindly request your understanding and cooperation in finding a mutually agreeable solution that allows for the termination of the lease with minimal financial consequences. I believe that terminating the lease is the most practical course of action given my current circumstances.

I am open to discussing potential alternatives to breaking the lease, such as finding a suitable replacement tenant through subleasing or lease transfer, provided it is permitted under the terms of the lease agreement and within the bounds of local laws and regulations. I am willing to assist in the process of finding a responsible individual to assume the remaining term of the lease and meet all necessary requirements.

I value my relationship as a tenant, and it is my intention to handle this matter responsibly and respectfully. I understand that there may be necessary procedures and paperwork involved in the lease termination process, and I am prepared to fulfill any obligations required of me, such as settling outstanding balances or scheduling a property inspection.

I kindly request a written acknowledgment of this letter and your confirmation of the next steps to proceed with the lease termination process. I believe that open communication and cooperation between both parties will lead to a fair and satisfactory resolution.

Thank you for your attention to this matter. I appreciate your understanding during this challenging time. Please feel free to contact me at your earliest convenience to discuss this further or to arrange a meeting.


[Your Name]

Frequently Asked Questions (FAQs)

Q1: What is breaking a lease due to financial hardship? 

Answer: Breaking a lease due to financial hardship refers to the process of terminating a rental agreement before its agreed-upon end date because the tenant is facing significant financial difficulties. 

It allows tenants to seek relief from their lease obligations when circumstances such as job loss, medical bills, or other unforeseen events make it challenging to continue fulfilling their rental agreement.

Q2: Can I break my lease due to financial hardship? 

Answer: In many cases, tenants can break their lease due to financial hardship. However, it typically requires communication and negotiation with the landlord or property management. 

While breaking a lease can incur penalties, discussing your financial situation and exploring possible solutions with your landlord may lead to a mutual agreement that allows for lease termination without excessive financial consequences.

Q3: What steps should I take to break a lease due to financial hardship? 

Answer: To break a lease due to financial hardship, you should follow these steps:

  1. Review your lease agreement to understand your rights and obligations.
  2. Communicate openly with your landlord about your financial situation, providing supporting documentation.
  3. Familiarize yourself with local laws and regulations pertaining to lease termination due to financial hardship.
  4. Negotiate with your landlord to explore alternatives, such as subleasing or a mutual lease termination agreement.
  5. Document your financial hardship and maintain a record of all communication with your landlord.
  6. If needed, consult with legal professionals who specialize in tenant-landlord law.
  7. Give written notice to your landlord, adhering to the notice period specified in your lease agreement.
  8. Settle any outstanding financial obligations before vacating the property.
  9. Document the condition of the property before leaving.
  10. Return the keys to your landlord and complete the necessary move-out procedures.

Q4: What are the potential consequences of breaking a lease due to financial hardship? 

Answer: Breaking a lease due to financial hardship can have consequences such as financial penalties, loss of the security deposit, negative rental history, and potential legal disputes. However, by following proper communication and negotiation channels, tenants may be able to minimize these consequences and reach a mutually agreeable solution with their landlord.

Q5: Can I sublease my rental property if I am experiencing financial hardship? 

Answer: Depending on your lease agreement and local laws, subleasing may be an option if you’re facing financial hardship. Subleasing involves finding a suitable individual to take over your lease and fulfill your rental obligations for the remainder of the lease term. Consult your lease agreement and discuss this possibility with your landlord to ensure compliance with the terms and conditions.

Q6: Should I consult with a lawyer when breaking a lease due to financial hardship?

Answer: While not always necessary, consulting with a lawyer who specializes in tenant-landlord law can provide valuable guidance and ensure you understand your rights and legal options. 

They can help you navigate complex situations, negotiate with your landlord, and provide advice tailored to your specific circumstances, particularly if your landlord is uncooperative or if disputes arise during the lease termination process.