A Rental Agreement is a contract made between a landlord and a renter that provides an outlined detail of the terms, conditions, and obligations that each party needs to abide by in order to maintain a peaceful tenant-landlord relationship. Rental Agreements are the best way for a landlord to protect himself and set proper expectations among tenants.
Some states deem verbal rental agreements enforceable; however, a savvy business owner will know the importance of having a written contract as a means of irrefutable proof. Our Agreement Forms and Rental Lease Agreement Forms contain the necessary details that need to be incorporated in a Rental Agreement. Use our Standard Rental Agreement Forms and Basic Rental Agreement Forms to save time and money.
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A Rental Lease Agreement is a form of contract and is therefore legally binding. Rental Agreements obligate both the tenant and the landlord to follow its terms and conditions. Apart from added security on both the tenant and the landlord’s best interests, Rental Lease Agreements also serve as documentation and a means of reference for certain conditions, such as tenant and landlord duties. Below is a list of the crucial aspects that need to be indicated in a Rental Contract.
Full Names of All Occupants
Typically, Rental Agreements only indicate one person’s name on the agreement contract. However, most landlords are finding out that doing this limits their options of demanding rent payments from other occupants of the unit, especially if the name listed in the contract loses his job or is not around. Indicating the complete names of all the occupants in the property makes them part of the contract and obligates them to abide by its terms and conditions as well as to pay the rent due, regardless of whether one member has the capacity to pay or not.
Impose a Limitation on the Number of Occupants
Rental Agreements must also provide clear and proper indications of the allowed number of occupants in one rental unit. It should be specified that only those whose names appear in the contract are allowed to reside in the leased space. This will guarantee that the people occupying your property are only those who have been thoroughly screened.
State the Duration of the Lease
Rental Agreements should also specify if the length or the duration of the tenancy is a mere rental or if it is a fixed-term lease. Rentals usually renew every month while a lease usually lasts for several months or a year.
Provide the Amount of Rent Due Each Month
Lease Contracts should specify the exact amount that is due each month together with the due date and the preferred method of payment. Penalties for late payments and bouncing checks must also be indicated in the contract as well.
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Advanced deposits as well as security deposits, their uses, and how they will be refunded back to the tenant have to be clearly defined in your Rental Agreement to avoid confusion and misunderstanding between you and your renter.
Repairs and Maintenance Terms
The terms for repairs and maintenance also have to be properly established in the agreement. Tenants have to be made aware of their responsibility to maintain the cleanliness of the property and that incurred damage to the rental unit, whether intentional or not, will have to be covered by the tenant or taken from his security deposit.
Other Household Policies
House rules and restrictions such as certain guidelines for pets, the banning of engaging in illegal business within the property, excessive noise, or disruptive behavior have to be clearly defined in your Rental Agreement to avoid trouble among your tenants and damage to your property.
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