Why A Residential Lease Agreement Is Important ?
A residential lease agreement is a contract that landlords write up when renting out properties, whether it is for an apartment or a house.
The residential lease agreement outlines a number of different things. One is an established time line of how long the person renting agrees to stay in the residence. There are different lengths of time, from a thirty day agreement to a year or more. Usually the agreement lasts for a year, with a renewal options at the end of the contract. What many landlords and tenants usually do is when the lease is close to expiring, they just go over it and if everything is fine, they both sign another copy, with the dates changed and everything else remains the same.
At the end of the contract is when either the tenant or the landlord, can change the terms of the residential lease agreement. Usually these changes are made on a completely new contract at the beginning of the last month of the previous contract. This gives the tenant one full month to look over the new agreement, discuss any changes and either sign it or plan on moving out.
A residential lease agreement is essential when landlords rent property to people. This contract states clearly what is required by the tenant, and any restrictions. For example, it can stipulate that there are to be no pets on the premises, no smoking inside the residence, and other things that the landlord requires.
It is also a clear statement of how much rent is due, what time of the month it is expected to be paid by and what consequences will occur if these obligations are not met.
If you are going to be renting your property to someone else, there are a number of sample lease agreements available, but you should go over these and only use them as a basis for your own. You also need to state clearly and concisely what your stipulations are and have a lawyer go over it to make sure it is a legal contract.
A residential lease agreement protects the rights of tenants as well. Once an agreement has been signed, it can’t be changed by one party until the end of the term, unless agreed upon by both parties and a new contract or an amendment has been drawn up and signed.
For example, let’s say that you have signed a residential lease agreement that states you will pay $800 each month and that your rent is due by the fifth of the month, or the closest work day after the weekend or a holiday and you will be charged extra if you don’t pay by the tenth. Suppose that for some reason or another, your landlord comes and demands payment on the first, or they are going to add extra charges. By law, not only can they not demand you pay before the due date, but can’t charge you extra until the date stipulated in the agreement.
A residential lease agreement protects both the landlord from bad tenants, as well as the other way around. It is a legally binding contract and and will stand up in court. While 95% of both landlords, as well as tenants are good law abiding people, it is just good business practices to have a rental agreement, so both parties are informed of their responsibilities right up front.
