How the Resolution Center Handles Lease Modification Requests

Summary:

On Alcove, leases between landlords and tenants are legally binding and cannot be terminated without mutual consent from both parties, as well as a separate written agreement, unless otherwise stated by applicable law. This is in accordance with the lease cancellation policy which states:

"Tenant hereby agrees that any notice of termination submitted shall not be effective until the final day of the initial Term. Consequently, regardless of the duration of the notice provided by Tenant, termination of this Lease Agreement shall not occur prior to the last day of the initial Term, unless Landlord specifically consents in writing via a separate signed instrument or Tenant has an early termination right available under applicable law..."

However, tenants may wish to terminate their lease, change rooms, or switch properties for a variety of reasons, including life changes, habitability issues, changes in property preference, or roommate conflicts. Conversely, landlords rely on the stability of rent cash flow, which is assured by clearly defined long-term leases that are designed to last for the agreed duration.

This is where Alcove's Resolution Center comes in, serving as a platform where landlords and tenants can find resolutions through a structured process. This process includes features such as evidence submission, proposal exchanges, specifying a termination fee amount or notice period, acceptance, structured chat, and escalation support from Alcove.

How the process begins:

The process starts when a tenant submits a request through their portal, with three options available:

Switch to a different unit within the same property.
Move to another Alcove property.
Leave the Alcove Community.

Since all three options involve breaking their lease with the landlord, the tenant must initiate this through the Resolution Center.

Initiating the Lease Modification Process through Tenant Portal

During the lease modification submission process:

Tenants will receive information from their lease, clarifying the terms and reminding them that they need to reach a resolution with the landlord.
Tenants are asked to provide an intended vacate date. They are reminded that this date cannot be changed once submitted without canceling the current case and creating a new one. It's important for tenants to finalize their plans to vacate the property before submitting their request.
If the request involves switching rooms within the same property, we will inform the tenants of any current or upcoming availabilities. If no rooms are available, they will be notified accordingly.
Tenants will also be required to present evidence if they are breaking their lease, clearly indicating the reasons for wanting to terminate their agreement with the landlord. This evidence will later be presented to the landlord as part of the resolution process.

Information on Vacate Date and Room Switch Requests for Tenants

Landlord response to the tenants case:

Once a tenant submits a case, the landlord will be notified via email, and the case will become visible within the homeowner portal by selecting the profile button in the top right-hand corner or by visiting this link directly.

From there, the details of the case, whether it involves an early termination, property switch or a room switch, will be displayed. Any evidence submitted by the tenant to support their case will also be provided to the landlord.

Email Notification and Lease Modification Request in the Homeowner Portal

The terms of the lease agreement state that any modifications to the lease must be arranged in a separate written agreement. By default, landlords are required to allow tenants the option to find a replacement tenant as a minimum condition, subject to the approve of Alcove and the Landlord. Tenants legally have the right to terminate their lease early if they find a suitable replacement. During the period of finding a replacement, the tenant remains responsible for fulfilling the lease terms and all associated payments.

When tenants request to terminate their lease, landlords on Alcove have the option to choose from the following selections:

Allow Lease Termination - If you agree to terminate the lease on the tenant's specified vacate date without additional cost.
Require Advance Notice for Lease Termination - If you require termination on a future date with advance notice.
Require Fee for Lease Termination - If you wish to specify a fee for early lease termination.
Require Replacement - The default option that is legally required

For Room Switches:

Allow Room Switch - If you permit tenants to switch rooms without fees.
Require Fee for Room Switch - If you want to allow room switch for a fee.
Deny Room Switch - Deny the request for a room switch.

Note: If a tenant is terminating due to military orders, Alcove will share with you the evidence submitted by the tenant, which may include copies of the orders from their CO. In such cases, housing laws mandate that you must allow the tenant to terminate the lease early.

Landlord proposal options in the Resolution Center

Tenant Response to Landlord's Proposal and further negotiations

Once you have issued a proposal to the tenant, the tenant has the opportunity to review the proposal and either accept or deny it. At this time, a chat feature is also activated between you and your tenant.

If the tenant accepts, the case will move to a 'pending finalization' status, indicating that Alcove will process the proposal and finalize the agreement. If you cannot reach an agreement, you can continue negotiations in the chat, where you may decide to offer an alternative proposal.

Proposal to the tenants and chat functionality

Escalate to Alcove

In certain situations, you may find it necessary to escalate the case to Alcove by clicking the "Escalate to Alcove" button. Reasons for escalation might include:

The tenant is not responding.
Clarification from Alcove is needed.
Inappropriate use of the platform.
You need assistance from a support team member.

Upon escalation, Alcove will review all escalated tickets in the order they are received during normal business hours.

Alcove does not guarantee a resolution but will facilitate the understanding of the lease and Alcove’s policies to all parties involved. Ultimately, reaching an agreement is the sole responsibility of the landlord and the tenant.

Finalizing the Agreement and Processing Payments

Once a proposal is accepted, Alcove will start processing the necessary documents for the agreement between you and your tenant. We may ask follow-up questions in the chat, but typically, our team will handle the details and send a separate written agreement for finalization.

If the agreement involves a payment to you, the tenant will receive an invoice, and you will be paid within a few business days after the invoice is completed.