As a tenant or a landlord, there is one document that legally binds our relationship together, a lease agreement. But let’s be honest- how many of us actually read it cover to cover? Yet, This simple document shapes the experience of both the tenants and landlords. It sets the foundations of the relationship ensuring peace of mind and clarity of responsibilities. At Ule Homes, we will walk through what lease agreement is and all you need to know about it.
What Is A Lease Agreement?
Simply,a lease agreement is a written contract between a landlord and a tenant. It spells out the terms for renting a property. There are different types of leases uniquely for the type of property.
- Residential leases for homes and apartments
- Commercial leases for businesses and workspaces.
What Makes Up a Lease Agreement?
Not all lease agreements are drawn up same way, but here are a few key elements you should look out for?
- Name and contact details of both the tenant and the Landlord
- The address and description of the property.
- The Lease duration and process of renewal.
- The amount of rent, when and how payment is to be made.
- What is required for the security deposit and how it is handled when the lease ends.
- Maintenance and repairs of facilities.
- Utilities ; light, water, Internet and refuse disposal.
- Rules and Restrictions
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Why Do You Need A Lease Agreement?
There are benefits that a lease agreement serves for both the landlord and the tenant. On what grounds might lease agreement come in handy?Here are a few:
Legal evidence
A legal agreement protects you from any future mishap that might occur. It serves as evidence in any legal dispute as proof that there was an agreement between both parties.
Protection of Rights and Responsibilities
An agreement ensures the rights of the landlord and tenant are protected during the period of lease agreement.
Eliminates Confusion.
A well drafted agreement that covers all necessities minimizes confusion about responsibilities. This reduces disagreement as much as possible for both parties.
Tenants Guide For Signing a Lease Agreement
Don’t rush to sign your lease agreement, here are a few things you should do;
Read thoroughly
There is alway an urge to skim through and Sign. But, it is better to understand what you are agreeing to.
Ask Questions
If there is any part of the agreement you are unsure about, seek clarity and ask all your questions
Negotiation
Discuss any terms you are not comfortable with. It’s better to reach an agreement upfront than to have a dispute over it later.
Keep Your Copy
Always keep a signed copy of your lease agreement for future reference.
Landlords Guide For Drawing up a lease Agreement
There are important details to consider before drafting a lease agreement. Here are a few to note of.
Seek Legal Help
You should reach out to a legal practitioner to help understand the landlord – tenants laws in your jurisdiction. This ensures that your agreement compiles with appropriate regulations like rent control and eviction laws.
Clear Rules and Requirements
Ensure that the agreement is drafted in a language that can be easily understood by the parties involved. This helps to prevent misunderstandings and animosity.
Lease Violation
Ensure the penalties of the lease violations are clearly stated and discussed with tenants before signing
Keep Your Copy
Also, keep a signed copy of the tenant’s agreement for future reference.
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