Can't Move Into New Rental Townhouse - What's My Liability?

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sjatraleigh

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I signed a residential rental contract (NC Association of Realtors Standard Form 410-T) on 2/18/11 to lease a new townhouse. When I signed the contract the landlord (investor) was still in the process of buying the property. My lease was scheduled to start on 3/1/11 and is a two year lease with 90 days notice to terminate. In the meantime, I purchased furniture to be delivered on 3/2/11. The townhouse was supposed to close on 2/28/11 but did not. A new closing date was scheduled and postponed multiple times. The townhouse did eventually close on 3/8/11, eight days after my lease technically began. I met with the investor's agent and we changed the beginning date of lease to 3/18/11 on each of our respective contracts and each initialed.

I was finally given the keys and allowed in the (new construction) townhouse on 3/12/11. I spent about 5 hours in the TH cleaning the construction debris, dust, etc. before my furniture and movers arrived on the 18th. Later that evening and the following day I was very sick. Turns out after consulting with my doctor I had a reaction to the volatile organic compounds (VOCs) that are out-gassed from new construction materials. The odor was very strong while I was in the TH so I had all the windows open and fans going to ventilate and still got sick in spite of the significant ventilation. I did not smell this odor when I first looked at the TH and signed the lease. The landlord installed new PVC wood faux blinds throughout the TH after I signed the lease. I asked the landlord if he would change out the PVC blinds and test for VOCs and he said he couldn't afford to.

My doctor recommended that I not move into this TH. I told the landlord that I couldn't move in because it would have a serious impact on my health. I've already paid the landlord a $1,000 deposit and $1,000 first months rent. They did give me (before I declined to move in) a check for $800 - $500 for the prorated days because of the delayed closing. He also reimbursed me $300 for the furniture delivery charges because the furniture couldn't be taken off the truck as the TH hadn't closed yet so he officially didn't own it. Also, the utilities are all in my name and have be since 3/1/11 even know I've never lived in the TH. When I told the landlord I couldn't move into the TH he ask me to return all the keys to his agent which I did – actually before the lease officially began on 3/18/11.

What is my liability here? I could really use some advice as I'm paying rent elsewhere and living out of boxes while this place sits empty at $33/day. They also raised the rent from $1,000 to $1,050. They said that they had so much interest the first time they advertised it that they thought they could get more.

I sincerely appreciate any help or advice.

Steve
 
From what I can decipher from your oust, you're stuck with a lease. If I were you, I'd ask what it would take to get out of the lease? The landlord is under no obligation to allow you to walk. If you work it right, you can minimize your liability.
 
Am I still at the mercy of the landlord and lease?

Thanks Army Judge.

So even with all the extenuating circumstances I'm still at the mercy of the landlord and lease?

The townhouse wasn't ready when promised – when the lease officially began.
I can't move in to the townhouse for medical reasons.
I never technically took position of the TH.
I incurred almost $300 in furniture delivery charges because the TH wasn't ready.
I've had the utilities in my name eight days before the TH was ready.
I've done everything I could to help facilitate finding new tenants including offering to show the TH (landlord is out of state) and leaving the utilities in my name.

Is it fair that they raised the rent? This will make it more difficult to find new tenants at my expense.
 
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