When it comes to leasing, most people think that it either involves real estate or any type of vehicle. As much as this is true, these two kinds are not the extent of leasing. A person can also lease pieces of equipment and livestock. But, when it comes to the most common, it is definitely the real estate lease arrangement. Read on this article to know and understand the fundamentals of a lease agreement as seen in a generic basic lease form. Read More
As leases come in different variations, its consequent form also varies. Some forms provide much emphasis on some clauses and conditions as compared to others. Its multiple variations follow a standard and this standard is the generic basic lease. It is a fixed arrangement between the landlord and tenant that outlines each parties’ role and responsibilities for the whole duration of the lease. It lays out the arrangements that are common for residential lease agreements. This generic variation of the lease form is especially helpful for landlords that manage different types of real estate properties. They do not have to come up with a different form for each type. Objectively, the generic basic lease form is a versatile lease form.
A generic lease agreement contains several clauses that discuss all the matters concerning a lease arrangement. These matters start from the parties involved down to the governing state laws. If you are thinking about engaging in a lease, here are some steps and tips on how you can create a comprehensive lease agreement.
Know who is involved in the agreement. The accurate identification details of both parties are especially important because the document legally binds both parties until its termination. The details needed are their legal names and mailing addresses. The mailing address of the landlord may appear again in the document under the clause regarding notices. However, the succeeding clauses of the document will use the names of the parties. Rather, the parties will be referred to as the landlord or tenant, whichever their role is for the entire arrangement.
Unclear arrangements regarding money will surely rise to conflict. So, make sure that your lease agreement clearly states the conditions regarding the payment. From the total payable amount, monthly due, and due date, double-check if all the details you are providing are accurate. Arrangements regarding other financial matters such as the security deposit and late fee must also be discussed in the agreement. State the details of these matters in a straightforward manner.
A basic lease agreement form is a legal document used by the general public. Thus, the wordings used must be simple and easy to understand. If possible, the use of jargon and other technical terms must be avoided. If not, make sure to explain their meaning and its relation to the agreement. The entire document can be quite long and wordy, but the use of simple words make it fully comprehensible and easy to read.
After including the necessary stipulations, those that should be present for each lease agreement, you can choose to add additional stipulations that will tailor-fit the arrangement to your situation. These additional stipulations must be consented by both parties. When added to the document, they are referred to as an addendum.
The first thing to review is the state laws regarding leases. Make sure that the clauses in the documents are deemed legal and enforceable in your state. Next, review if all the details are accurate. Double-check the names, dates, and amounts. In relation to adding stipulations, a discussion about the existing stipulations must be done and agreed upon by both parties. Lastly, before signing the document, you can choose to discuss the entire agreement with a lawyer.
Most leases follow a fixed-term arrangement. Thus, it has a fixed termination date. However, the landlord can cancel the term and end the lease early for several reasons. When this happens, the landlord also waives the penalties that the tenant must face in order to terminate the lease. You can consult with a real estate lawyer to make sure.
Aside from the landlord and the tenant, there are other people who might find a lease form useful. They are other homeowners, property managers, and tenant placement services.
Yes, using a generic lease form can let you offer your room for rent. As the landlord, make sure to provide all the specific and accurate details about the arrangement. Be critical with your decisions especially when it comes to the regulations about the shared spaces and payment for utilities and damages.
A lease agreement becomes official when the representatives from both parties sign the document. The representatives must also be of legal age and of sound mind to make such decisions.
A voidable contract or legal document is something that is unenforceable because of legal reasons. A lease agreement becomes voidable if either one of the parties does not know the true nature of the agreement. The most obvious reason behind a voidable contract is a fraud. Other reasons that make it voidable is when either of the parties fails to disclose a material fact when there was a blatant misrepresentation, and when either party was forced to enter into the arrangement thus nullifying their consent.
Generic lease agreement forms can be used for all kinds of residential leases. May it be for houses, duplexes, or condominium unit, a generic lease form is usable for all these real estate properties. So, for those who do not want to spend so much time in creating specialized forms for particular properties, the generic format of the document does the job for you.