A tenant can be archived as soon as they are finished with. There are a couple of rules.
1) There must be a vacate date
2) The Tenant cannot be archive with any Other Amounts Owing (This is either credits or debits) These must be cleared up first.
3) The Tenant can be archived with rent arrears, but if you do that, we strongly suggest you put a comment in the notes area about why they were archive with this amount still owing.
4) You may get a message saying that the Bond required and Bond Received amounts do not match. This means that the amount on the Tenant Edit screen for Bond is different that the amount actually receipted in Palace. You will need to fix this first.
When ready you can archive - Simply right click on Tenant and click on Archive.
Follow the prompts though.