Handling a Lease Buyout Offer as a Renter in Massachusetts

If you rent in Massachusetts and have been approached about a lease buyout, you’re not alone. Landlords may offer to pay tenants to end their lease early for reasons such as major renovations, planned sales, or redevelopment. Understanding how to evaluate these offers, your rights, and the legal process is essential to protecting your interests and making informed decisions.

What Is a Lease Buyout?

A lease buyout is when your landlord offers you money or other compensation to voluntarily end your tenancy and move out before your lease term is up. This is sometimes called a “cash for keys” offer. In Massachusetts, accepting a lease buyout is entirely voluntary—you cannot be forced to accept or sign anything unless you choose to.

Your Legal Rights and Protections

Tenants in Massachusetts are protected by state housing laws, which are administered and overseen by the Massachusetts Department of Housing and Community Development (DHCD) and enforced in part by the Massachusetts Housing Court. State law ensures that any agreement to terminate a tenancy early—including through a buyout—must be voluntary and in writing. Retaliation and discrimination are prohibited under the Massachusetts General Laws, Chapter 186 - Estates for Years and at Will.¹

Key Points for Renters

• Your landlord cannot force or threaten you into a buyout.
• You have the right to negotiate terms or refuse the offer entirely.
• Any agreement should clearly state the amount offered, your move-out date, and other relevant terms in writing.
• You cannot be evicted for simply declining a buyout. Standard eviction rules and procedures still apply.

Evaluating a Lease Buyout Offer

• Read the buyout offer carefully and make sure all conditions are clear.
• Check your lease and Massachusetts law for your rights and obligations.
• Compare the buyout sum with your moving costs and potential rent increases elsewhere.
• Consider non-financial terms, such as move-out timing, removal of penalties, or possible relocation assistance.
• Seek advice from a tenant advocacy organization or legal aid if you have questions or concerns (see Resources below).

This helps ensure that your interests and rights are protected during negotiations.

Filing an Agreement or Complaint

If you choose to accept a buyout, it should be formalized in writing. There is no standard "lease buyout" form in Massachusetts, but you and your landlord can use a Termination of Tenancy Agreement to document the arrangement.

• Form Name: Termination of Tenancy Agreement
• When Used: If you and your landlord mutually agree to end the lease early (with or without a buyout payment), this form records the details and protects both parties.
• How to Use: Both you and your landlord should sign the agreement. Keep a copy for your records. If you have questions, seek legal advice before signing.
• Official Source: Download Termination of Tenancy Agreement (Mass.gov)

If you believe you are being harassed or pressured into accepting a buyout, you may file a complaint with the Office of the Massachusetts Attorney General. The Housing Court also handles disputes relating to tenancies, including buyout disagreements.

Official Tribunal: Massachusetts Housing Court

Disputes between landlords and tenants, including buyout agreements or claims of unlawful eviction, can be handled by the Massachusetts Housing Court. The court provides resources for judicial resources and help for renters.

Relevant Legislation

• Massachusetts General Laws, Chapter 186 - Estates for Years and at Will
• Massachusetts Tenants' Rights Guide (DHCD)

Summary: Handling a Lease Buyout

Lease buyouts can be helpful or stressful, but you always have the right to negotiate, refuse, or seek advice before making a decision. Know your rights, understand all documents, and don’t hesitate to ask questions.

Frequently Asked Questions

1. Can my landlord make me accept a lease buyout and move out?
   No. Lease buyouts in Massachusetts are always voluntary. You cannot be forced to accept or agree to move out for money.
2. What happens if I decline a buyout offer?
   If you decline, you remain a tenant under your lease. The landlord must follow the legal process for any potential eviction and cannot retaliate against you.
3. Should I get the buyout agreement in writing?
   Yes. Always get any buyout or early termination agreement in writing, using a Termination of Tenancy Agreement for your protection.
4. What if I feel pressured or threatened by my landlord?
   Seek help immediately. Contact the Attorney General's Office and consider reaching out to legal aid or the Housing Court.
5. Is the buyout money taxable?
   Buyout payments may be considered income. Consult a tax professional or the IRS for specific advice.

Need Help? Resources for Renters

• Massachusetts Department of Housing and Community Development – Tenants' rights, eviction info, and rental help.
• Massachusetts Housing Court – Handles tenancy disputes and provides forms and guides.
• Mass Legal Help – Tenant Guides
• Office of the Attorney General – Consumer Complaints
• Eviction, Lease Termination, and COVID-19 Information for Tenants

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1. Massachusetts General Laws, Chapter 186 – Estates for Years and at Will

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