What it means
A broken lease is when a renter ends their lease before the contractual end date without the landlord's consent or a legal cause (like military deployment under SCRA, or unsafe housing conditions). Most leases include penalties for breaking them — typically 1-2 months' rent owed, plus loss of security deposit.
Once a lease is broken, the property management company can report it to credit bureaus and tenant screening services (RentBureau, CoreLogic SafeRent, Experian RentBureau). It remains on the report for 7 years.
The screening report flag doesn't permanently block you from renting — but it does require strategy. Buildings that work with broken-lease applicants typically require an explanation letter, proof the balance was paid, current strong income, and a willingness to pay a higher security deposit.