Q: Am I required to refund last month's rent for a tenant who moves out early in Oregon?
I am a first-time landlord in Oregon. The tenant and I signed a fixed-term lease, and I required first and last month's rent when they moved in. They are now telling me they will be moving out 3 months early. Am I required to refund them their last month's rent that they already paid?
A: Yes, unless they still owe rent. If the tenant breaks a fixed term lease, they continue to owe rent until either a new tenant assumes the tenancy and pays the rent or the fixed term expires, whichever comes first. The exception is if your written lease contains an early termination fee (maximum charge is 1 1/2 month's rent). You must provide a full refund of both pre-paid rent and the security deposit or a written accounting for how much you are retaining and why within 31 days of having possession restored to you.
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