9 min read
Sublease agreement
A sublease agreement lets a tenant rent out their place, or part of it, to someone else while their own lease is still in effect. It is common when you travel for months, take a job in another city, or want a roommate to cover part of the rent. Here is what a sublease agreement is, what to include, and the risks to manage before you sign.
What a sublease agreement is
A sublease agreement, or sublet agreement, is a contract in which the original tenant, called the sublessor, rents the property to a new occupant, called the sublessee or subtenant. The original tenant keeps their lease with the landlord and stays responsible for it. The subtenant pays rent to the original tenant, not usually to the landlord, and follows the terms of the sublease.
Subleasing is useful when you cannot occupy your place for a stretch of time but do not want to break your lease. Instead of paying rent for an empty unit, you bring in a subtenant to cover some or all of it. The catch is that you remain on the hook to your landlord, so if the subtenant does not pay or causes damage, the landlord looks to you.
This is general information, not legal or tax advice. Rules vary by state and province, and the right choice depends on your facts. For anything important, check with a qualified professional.
Sublease vs assignment
People mix up these two, but they are different. In a sublease, you stay in the lease and take on a subtenant, so you are the middle party between the landlord and the subtenant. In an assignment, you transfer your entire lease to a new tenant and step out, so the new tenant deals directly with the landlord. A sublease keeps you involved and responsible. An assignment usually ends your involvement, if the landlord agrees to release you.
Do you need the landlord's permission?
Almost always, yes. Most leases require the landlord's written consent to sublet, and subletting without permission can be a breach that puts your own lease at risk. Some leases forbid subletting entirely, while local law in some places limits a landlord's ability to unreasonably refuse. The safe path is to read your lease, ask the landlord in writing, and keep their approval on file before you sign anything with a subtenant.
What a sublease agreement should include
- The parties. The sublessor (original tenant) and the sublessee (subtenant), by full name.
- The property. The address and whether the whole unit or a specific room is being sublet.
- The term. The start and end dates of the sublease, which cannot run past the original lease.
- Rent. The amount, due date, and how it is paid to the sublessor.
- Security deposit. Any deposit the subtenant pays, and the conditions for its return.
- Utilities and shared costs. Who pays for electricity, internet, and other bills.
- House rules. Guests, pets, smoking, and noise, ideally matching the original lease.
- Reference to the master lease. A statement that the subtenant agrees to follow the original lease, with a copy attached.
- Signatures. Both parties sign and date, and the landlord's consent is attached.
How to write a sublease agreement step by step
- Check your lease and get consent. Confirm subletting is allowed and get the landlord's written approval.
- Screen the subtenant. Because you remain responsible, treat this like a landlord would, with a rental application and references.
- Fill in the parties and property. Add names, the address, and whether it is the whole unit or a room.
- Set the term and rent. Enter dates within your lease, the rent amount, and the due date.
- Cover deposits and utilities. Note any deposit and who pays which bills.
- Attach the master lease. Require the subtenant to follow it and attach a copy.
- Sign and keep copies. Both parties sign, and everyone keeps a copy along with the landlord's consent.
Risks to manage
Subletting shifts occupancy but not responsibility. Keep these risks in mind:
- You stay liable. If the subtenant misses rent or damages the unit, your landlord can still hold you responsible.
- Deposit disputes. Document the condition of the unit with photos before the subtenant moves in.
- Unauthorized subletting. Doing it without consent can lead to eviction of both you and the subtenant.
- Overlapping terms. The sublease must end on or before your lease ends.
Sublease rules by location
The right to sublet and the process for it vary widely. Some cities and provinces protect a tenant's ability to sublet and limit when a landlord can refuse, while other places leave it entirely to the lease. Rent control, notice requirements, and deposit rules can also apply. Because a sublease sits on top of your own lease and local law, check the rules where the property is located before you commit.
How to screen a subtenant
Because you stay responsible to your landlord, screen a subtenant the way a careful landlord would. Have them complete a rental application, check references from past landlords or employers, and confirm they can afford the rent. Meet them in person if you can, and be clear about the house rules and the term. It is easy to skip these steps when you are in a hurry to leave, but a subtenant who stops paying or damages the unit becomes your problem, not just the landlord's. Taking a bit of time up front to find someone reliable protects both your deposit and your standing on the master lease.
Deposits and documenting condition
Collecting a security deposit from the subtenant gives you a cushion against unpaid rent or damage, since your own deposit with the landlord is still on the line. Before the subtenant moves in, walk through the unit and take dated photos of every room, noting any existing damage. Do the same when they move out. This record makes it much easier to settle fairly over the deposit and avoids a dispute based on memory. Keep the subtenant's deposit separate and follow any local rules on how deposits must be held and returned, since those often apply to subleases too.
What if the subtenant will not leave?
Occasionally a subtenant stays past the agreed end date. How you handle this depends on local law, and it can be more complicated than people expect, because a subtenant may have tenant rights even though their agreement is with you rather than the landlord. In many places you cannot simply change the locks or remove their belongings, and you may have to follow a formal process similar to an eviction. This is another reason to put a clear end date in the sublease, keep good records, and understand the rules where the property is before a problem arises. If it does, getting advice early is better than acting on your own and risking a claim against you.
Fill out and sign a sublease agreement online
You can complete a sublease agreement on your computer without printing it. Open our fill a PDF tool, add a sublease template, type in the parties, property, term, and rent, and download the finished document. It is processed in your browser, so the details stay on your own device.
When the agreement is ready, the sign a PDF tool lets you and the subtenant draw, type, or upload a signature and place it on the page. For related paperwork like a rental application or the main lease, browse the form templates library.
Keep your rental documents together
A sublease comes with a lease copy, a landlord consent, and move-in photos to track. Create a free account on fillable.ca to save your filled sublease and related forms, reuse a template for the next subtenant, and keep everything in one place.
Frequently asked questions
What is the difference between a sublease and an assignment?
In a sublease you keep your lease and rent to a subtenant, staying responsible to the landlord. In an assignment you transfer the whole lease to a new tenant and step out. A sublease keeps you in the middle, an assignment usually ends your involvement.
Do I need my landlord's permission to sublet?
Almost always yes. Most leases require written consent to sublet, and doing it without permission can breach your lease. Read your lease, ask in writing, and keep the approval on file before signing with a subtenant.
Am I still responsible after I sublet?
Yes. As the original tenant you remain responsible to your landlord for rent and damage. If the subtenant does not pay or damages the unit, the landlord can look to you, so screen the subtenant carefully.
Can the sublease last longer than my lease?
No. A sublease cannot run past the end of your own lease, because you can only pass along rights you have. Set the sublease term to end on or before your lease ends.
Should the subtenant pay a security deposit?
It is a good idea. A deposit gives you protection against damage or unpaid rent, since you remain responsible to the landlord. Document the unit's condition with photos before move-in and note deposit terms in the agreement.
Can I fill out a sublease agreement online?
Yes. Open a sublease template in the fill a PDF tool, type in the parties, property, term, and rent, and download it. Use the sign a PDF tool to add signatures. The document stays on your device.