Skip to Content

Is It Ever a Good Idea to Let Your Tenant Sublet?

A female subletting tenant carrying boxes with personal belongings.

Being a rental property owner usually entails a diligent search for the perfect tenants. Nonetheless, occasionally tenants opt to sublease their unit to others, regardless of your consent. Usually, this is the case when a tenant, under a long-term agreement, expects to leave their home for an extended duration. Rather than terminating the lease, they often view subleasing as a preferable alternative. This piece intends to guide you through this predicament and help identify a solution that satisfies everyone.

Subletting occurs when a tenant leases a segment of their home, like a bedroom, to another individual while continuing to live there. Although this arrangement might appear beneficial for tenants seeking additional income, it can provoke worries among landlords. As the owner of a property, it is vital to deliberate on the pros and cons of letting tenants sublease. It’s time to explore these factors more thoroughly.

Who is Responsible?

There are two primary ways in which subletting happens. One way is through a legal sublet, where the landlord allows the tenant to sublease part or all of the property to someone else. Alternatively, an illegal sublet happens when the tenant subleases the property to another without the landlord’s consent.

It’s crucial to note that in subletting, the original tenant remains legally obliged to adhere to their lease agreement and ensure payment of the total rent. Consequently, even when subletting is permitted, the ultimate responsibility rests with the original tenant. Despite a trouble-free process, subletting necessitates entrusting the original tenant with the responsibility to ensure the subtenant abides by the lease terms.

Reasons Not to Allow Subletting

Allowing subletting is a decision that falls exclusively to you in your role as either landlord or property manager. That said, there are exceptions where regulations, including those from homeowners’ associations, can limit subletting. When agreements specifically ban subletting, this scenario might represent the singular reason to block your tenant from subleasing your property.

Another reason you might consider prohibiting subletting is the inability to collect rent if the subtenant ceases payment while your original tenant is absent. In such cases, your recourse would be to chase after the original tenant for payment, a task that can be daunting and time-consuming. It’s essential not to take any payments from a subtenant in the event of an unlawful sublet. Accepting payments from a subtenant, even under illegal conditions, might confer rights to them on the property, requiring eviction to end such claims.

Reasons to Allow Subletting

Many landlords sanction subletting to keep their properties filled. It’s especially relevant when a tenant will be absent for a long stretch. Building a strong rapport with your tenant is essential, and allowing them the flexibility to accommodate their needs is a key strategy. Allowing subletting by your tenant also aids in circumventing vacancies and related turnover costs, with the stipulation that rent is paid in a timely manner monthly.

Subletting Agreements

Creating a precise subletting contract that clearly states your expectations and your tenant’s obligations is the best practice. Regardless of your stance on subletting, including a clause in your lease that clearly defines the allowances and conditions is crucial. Engaging in straightforward communication can help avert confusion and foster a joyful and smooth rental journey for all parties.

Contemplating permitting subletting necessitates taking essential steps to safeguard both yourself and your property. One of your initial actions should be to diligently screen the subletting tenant, in the same manner as you would assess any potential renter. Once a suitable tenant is chosen, it’s necessary to formulate distinct expectations and directives for the subletting setup. This involves drafting and executing a sublease contract that comprehensively details the terms and conditions of the subletting deal. The presence of a sublease agreement is instrumental in mitigating potential future issues or disputes.

Wondering about the implications of letting your tenant sublet your property? No worries, Real Property Management Bay State West has got you covered! Contact us online or call 413-514-0050 to talk to a rental property expert today. Our team of pros is here to help you make the best decision for your property in Ludlow or nearby.

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.

The Neighborly Done Right Promise

The Neighborly Done Right Promise ® delivered by Real Property Management, a proud Neighborly company

When it comes to finding the right property manager for your investment property, you want to know that they stand behind their work and get the job done right – the first time. At Real Property Management we have the expertise, technology, and systems to manage your property the right way. We work hard to optimize your return on investment while preserving your asset and giving you peace of mind. Our highly trained and skilled team works hard so you can be sure your property's management will be Done Right.

Canada excluded. Services performed by independently owned and operated franchises.

See Full Details