Use a commercial lease if you are renting an office building, retail space, restaurant, industrial establishment or property in which the tenant operates a business. You can continue to support your original lease by changing the terms of a lease. In addition, you can terminate an existing tenancy agreement with a letter of end of rent or extend a rent for an additional period of time with renewal of the tenancy. @Brent Coombs: The market currently supports much more than the face value of the lease, ironically, and the vacancy is close to 0% due to supply and fast-growing (but temporary) construction jobs. The market rent for the house right now would be about $600-$700 more than the current rent and about $300 more than the face value. The seller found himself in a bad situation because he moved, refused a sale, and had to close to a new house in another city (job transfer), so he signed up with the property management company. As he could afford the payments for the mortgage, he simply told them that he needed “$XXXX" to technically qualify for the credit, and wanted them to complete it immediately (within 2-3 days). The employee of the property management company had just lost her rent and needed a place to leave. It was then a “back-scratch" agreement that allowed them to get something for him, before the holidays and under the pressure of the closing date, something they “needed".
Having to move quickly has put the seller in trouble. Fast forward, and what this could tarnish is that technically, it is not a property that we want this time to invest. This is a house we saw, we decided we wanted to buy, and were willing to cover up with having tenants to $XXXX. So we sold our house, and are closed 34 days, just to find out now that they don`t want to pay (can`t afford to pay?) also the face value of the rent, which is still significantly below the market rental around 300-400 dollars a month for this beautiful property. So, as you can imagine, they get a screaming deal, almost 35% off the current market. I actually saw a comparable rent (not so nice) for almost double what they pay (don`t joke).