My Student Dropped Out Mid-Semester and We Co-Signed the Apartment Lease. What Are Our Options?
By the ReletMe team · Reviewed October 2026
Short answer: Leaving school does not end the lease, and as co-signers you remain responsible for the rent until it is transferred or ended in writing. An apartment lease takeover is usually the cleanest exit, and the landlord must approve it in writing.
If you co-signed or guaranteed the lease
A co-signer or guarantor stays responsible for the rent until the lease is transferred to someone else or ended in writing. A verbal OK from the leasing office is not a release — ask for a signed document that names every person being released, including you.
Read the lease first
- Assignment or takeover clause — whether someone can replace the tenant, and any transfer fee.
- Sublet clause — whether subletting is allowed and what approval it needs.
- Early-termination clause and fee — whether there is a buyout option and what it costs.
- Notice requirements — how much notice is required and whether it must be in writing.
- Co-signer or guarantor terms — what the guarantor owes and how a release works.
Your four options, in order
1. Negotiate an early termination with the landlord
When it fits: the landlord has a waitlist or a strong leasing season ahead. What it costs: often a fee of one to two months' rent, sometimes less. One risk: without a signed termination agreement, the landlord can still bill for the remaining rent.
2. Find someone to take over the lease
When it fits: several months remain and the lease allows assignment. What it costs: any transfer fee in the lease plus the time to find a renter. One risk: responsibility only ends once the landlord signs off on the replacement. ReletMe is a marketplace for finding the replacement renter, and the landlord still approves the transfer — you can list the lease on ReletMe.
3. Sublet
When it fits: the student may come back before the lease ends. What it costs: any gap between the sublet rent and the lease rent. One risk: the original tenant and co-signer stay fully liable if the subtenant stops paying or damages the unit.
4. Pay to break the lease
When it fits: little time remains or no other option works. What it costs: the early-termination fee or remaining rent, minus what the landlord recovers by re-renting. One risk: unpaid balances can go to collections and affect credit.
Duty to mitigate
In most U.S. states, a landlord must make a reasonable effort to re-rent the apartment after a tenant leaves early, which can reduce what is owed. Rules vary by state — see the landlord duty to mitigate by state.
What to do this week
- Locate the signed lease and any guarantor agreement.
- Email the landlord in writing before the next rent due date.
- Ask for a written release or written permission to find a replacement renter.
- List the lease so replacement renters can find it.
Frequently asked questions
Does it matter what state the apartment is in?
Yes. Tenant law is set by each state, so notice periods, early-termination rules, and whether the landlord must try to re-rent all depend on where the apartment is. Start with the lease, then check the state's legal-aid guidance.
What kind of lease is it: fixed-term, student-housing, or month-to-month?
A month-to-month lease usually ends with proper written notice. Fixed-term and student-housing leases run to a set end date, so leaving early means negotiating, transferring, subletting, or paying to break it.
How much time is left on the lease?
The more months left, the more is at stake and the more a replacement renter is worth. With only a month or two left, a negotiated early termination or simply giving notice may cost less than any other option.
Is it a by-the-bedroom lease or a whole-unit lease?
A by-the-bedroom lease covers one bed, so only that bed needs a replacement and roommates are unaffected. On a whole-unit lease everyone signed shares responsibility, so roommates and the landlord both need to agree to any change.
How do we get released as co-signers?
You are released only when the landlord signs a document ending your guarantee, usually when a replacement renter is approved or the lease is terminated. Make sure the release names each co-signer.
Will this affect our credit?
Not if the rent keeps getting paid and the exit is documented. Unpaid balances sent to collections can show up on the credit report of anyone who signed.
Sources
- LawHelp Minnesota — Notices to Vacate and Ending a Lease
- The Ohio State University — Off-Campus and Commuter Student Engagement
- ReletMe — Landlord duty to mitigate damages, by state
Next step: List the lease on ReletMe · Browse lease takeovers
General information, not legal advice. Lease terms and tenant law vary by state.