The Virginia sublease agreement is a legal contract that allows a tenant to rent out all or a portion of the property to a subtenant in exchange for regular payments.
Does a Tenant Need the Landlord’s Permission to Sublet in Virginia?
Virginia tenants do need to get the landlord’s explicit written permission. Even after permission is given, a landlord still has the right to reject a subtenant if they are unqualified, such as for smoking or having a low income.
Standardized Virginia Sublease Agreements
Here’s what is generally included in a Virginia sublease agreement:
- The Names of the Parties – The original tenant under the lease is named in the sublease and is called the “Sublessor.” The third-party that is subleasing the rental unit is named in the sublease and is called the “Sublessee.”
- Rental Unit Location – The address for the rental unit as described in the master lease.
- Term – The exact date of the sublease beginning and ending date.
- Rent – How much the rent is, when it needs to be paid, and how to pay it.
- Late fees – Discuss the late rent policy and if fees apply.
- Master Lease Inclusion – A copy of the Master Lease is attached to the sublease. If any exceptions in the Master Lease are not included they should be clearly stated in this section.
- Liability – The sublessee will be liable for any damages to the Sublessor. The Sublessor has the ultimate responsibility to pay for any damages as stated in the master lease agreement.
- Disputes – A description of how disputes between the Sublessor and Sublessee are to be settled, which may include mediation and binding arbitration to avoid more expensive legal proceedings.
- Authorized Occupants – A list that identifies the new tenant(s) and those authorized to live in the rental unit including any policy about short-term guests.
- Security Deposit – The security deposit is held by the Sublessor (not the landlord). Virginia law limits the maximum security deposit to two months’ rent.
- Return of Security Deposit – Virginia landlords have 45 days after the lease ends or the tenant vacates the rental unit (whichever is later) to return a security deposit.
- Lead-Based Paint Notice – Under Federal law, if the rental unit’s premises were built before 1978, the Sublessee must be given a written warning notice, called a Lead-Based Paint Disclosure.
- Smoking Policy – If smoking is restricted in the rental unit and any designated smoking areas are identified in the sublease.
- Utilities – The utilities to be paid by the Sublessor and those that are to be paid by the Sublessee.
- Inventory of Included Items – The list of items in the rental unit that are part of the sublease (furniture or appliances).
- Improvements to the Rental Unit – Discuss if the subtenant is allowed to paint or make any changes to the unit.
- Landlord’s Consent – This section describes how the landlord is asked to consent (if consent is not already included in the Master Lease). Tenants may create a signed sublease that is conditional on being accepted by the landlord before the sublease becomes effective.
- Signature: The signature and date for the Sublessor, the Sublessee, any Co-Sublessors, and Co-Sublessees (if they exist).
Tax Implications of a Sublease
In Virginia, sublessors may be subject to state and local taxes if they sublet for less than 30 days. For example, in Alexandria, taxes may include:
- Virginia State Sales Tax – 4.3%
- City of Alexandria Tax – 6.5% + $1.25 per room per night
- Transient Occupancy Tax – 3 %
