Sublease Information
A sublease occurs when the lessee of a property rents the same property to a third person for a time period that is less than the original lease that the lessee holds with a landlord. The person who is renting from the original renter of the property is called the sublessee or subtenant. The original renter is then called the sublessor, sublandlord or underlessor and must maintain some rights to the property for it to be considered a sublease.
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Lease Legalities
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A tenant cannot sublet a property if the lease states that it is not permitted. If the lease says nothing about subletting, it is usually acceptable for the tenant to create a sublease. Sometimes a lease permits subleases under the condition that the landlord must agree to the sublease.
Background Checks
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Sometimes the landlord will require a background check on the potential sublessee, especially if the original tenant underwent such formalities in order to first rent the property. If the landlord does not require a background check, such as requesting reference letters, the sublessor should request one anyway. A credit check can only be completed with written consent from the potential sublessee.
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Sublease Agreement
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The landlord might also require a sublease agreement to be signed, which protects both the sublessor and the landlord. If the landlord does not require a sublease agreement to be signed, it is advisable for the sublessor to draw up a contract with his sublessee. The sublessor should cover all terms on the sublease, including the payment of rent and utilities, whether or not the sublessee will maintain services such as cable or Internet and even maintenance of the apartment.
It is wise for a sublessor to ask for a security deposit, because the original renter is responsible for the costs of any damage to the property and for paying the rent, even if a sublessee fails to cover his payment.
Commercial Sublease
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Sometimes the owner of a commercial property will lease the property to a management company, who will in turn sublet parts of the building to subtenants. The management company then is considered to be the sublessor with subtenants.
Vehicle Sublease
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Although real estate properties are the more popular arrangement for sublease, the owner of a vehicle can sublease her vehicle to a third party. The owner should draw up a sublease agreement in which specific dates for the duration of time the sublessee will retain the vehicle are agreed upon.
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References
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