How to draw up a lease agreement

Author: Florence Bailey
Date Of Creation: 19 March 2021
Update Date: 1 July 2024
Anonim
Landlord Tenant Lease Agreement Essentials - 5 KEY LEASE CLAUSES You must Include!
Video: Landlord Tenant Lease Agreement Essentials - 5 KEY LEASE CLAUSES You must Include!

Content

Are you renting out a property for the first time? Signing a lease will ensure a normal relationship with the tenant, and if something goes wrong, the same document will become the basis for protecting your interests in court. The contract should be written in plain language with clear descriptions of the main points, including the terms of payment, the rules that the tenant must comply with, and what consequences would arise if one of the parties decides to terminate the contract. You can use a typical lease, changing some clauses to suit your conditions and local laws. This article will tell you what to look for in order to prepare a lease.

Steps

Part 1 of 2: Describe Key Points

  1. 1 Title the contract. At the top, you need to write "Rental Agreement" or other relevant text to show that this is an official document.
  2. 2 Identify each of the parties to the contract. Write down the exact details (name and place of residence) of the landlord and tenant, clearly indicating who is renting and who is renting the property. You can optionally include additional contact information, such as a phone number and email address.
  3. 3 Describe the property you are renting. If housing is rented, please indicate the full address of the house and the apartment number. Describe the condition of the property at the time of signing the contract.
  4. 4 Indicate the rental period. It is necessary to indicate both the starting day and the duration of the contract in days, weeks or months. If you are planning a temporary interruption or early termination, please indicate this.
    • Most leases are for 3, 6 and 12 months.
    • You also set the rental period for 1 week or 1 month.
  5. 5 Indicate the rental price. The financial part of a rental agreement must include information on the rental value and terms of payment.
    • Write down what day of the month the invoice is issued and how it is delivered to the tenant.
    • Indicate whether a penalty is charged for late payment after a certain time, as well as the amount of penalties. For example, you can write: "If the tenant does not pay the bill within 10 days, he is charged a penalty in the amount of 2000 rubles."
    • Describe the terms of the prepayment. Indicate the amount of the prepayment and the conditions for the refund. Write down that the prepayment is not refundable if the property is in an unsatisfactory condition at the time of the termination of the contract. Specify how many days the prepayment will be refunded.
  6. 6 Set responsibilities. Indicate who is responsible for paying for utilities (gas, water, electricity), who takes out the trash, who takes care of the cleanliness of the surrounding area and other responsibilities related to the property that is rented.
    • Check local laws - in some areas only the landlord can pay utility bills, in others it can be done by the tenant.
    • Indicate who is responsible for carrying out repairs, maintaining the working condition of equipment, etc. This also requires reviewing local laws to determine your role. In most cases, the homeowner is obliged to monitor the condition of the premises and the operability of technical devices.
    • Indicate what the tenant's responsibilities are if any problems are found (report damage, lost keys, etc.).
  7. 7 Describe the additional obligations of the tenant under the lease. Usually, this clause indicates that the tenant should not violate applicable laws, comply with all environmental protection standards and pay fines for their violation.
    • Indicate that the lease is provided solely for the purpose of residence.
    • State what the tenant must do if part of the property is damaged in some way.
    • Indicate if the tenant can make any changes to the property. For example, a tenant might want to paint walls, install a cable modem, etc. Indicate if he can do it, and under what conditions.
    • Decide if pets are allowed and the rental conditions related to keeping pets. For example, you can ask for a surcharge or non-refundable deposit for each pet, depending on its weight. You can specify if animals are allowed inside or if they should be kept outside. Describe what to do if you find inhumane behavior with animals. Consider all aspects of animal management very carefully.
    • Indicate whether the tenant is allowed to sublet the property, if so, on what conditions and what the procedure for transferring lease rights should be.
  8. 8 Write down the consequences of not paying the rent or violating the terms of the lease. Describe in detail the measures that will be taken by the landlord if the tenant violates payment deadlines or other obligations imposed on him under the contract. Indicate what actions the landlord can take (eviction, return of ownership and / or going to court).
  9. 9 Leave room for each side's signatures. For the contract to be legally binding, the text must be signed by the landlord and tenant.

Part 2 of 2: How to Make a Contract an Undeniable Argument

  1. 1 Make sure the contract complies with local laws. In different regions, the relationship between the landlord and the tenant is governed by specific legal acts, the provisions of which may differ. For the contract to be valid, its provisions must not conflict with local laws, so they need to be reviewed. If the written document is mandatory, its legal force may be null. Therefore, it is better to start drawing up a lease agreement with a standard template, making sure that the correct data is entered into it.
  2. 2 Contact a lawyer to check the text of the document. Legal advice will help to make sure that: 1) the text of the agreement does not contradict local laws; 2) you have included all the necessary items to protect yourself in the event of any problems. It is better to find a lawyer specializing in drafting and legalizing such contracts. His experience will help bring the text of the document into the correct form, using the correct terminology and knowledge of local laws. Thanks to this, the contract will be legally binding and will provide maximum protection against possible troubles.
  3. 3 Make sure the language of the contract is easy to understand. Both parties must have a good understanding of the text of the contract.Avoid tricky legal language. Write clear, concise sentences. Do your best to ensure that the terms of the lease are clear and do not cause confusion.
    • Check your grammar and spelling. It is difficult to read and understand text that contains punctuation, spelling, or grammatical errors.
    • Use formatting to highlight important information. You can highlight the rental price and the amount of the prepayment in bold, as well as underline important terms.

Tips

  • Knowledge of local legislation is required to write the text of the contract. Always check local laws before signing a contract.
  • Always consult a lawyer to check if the contract can be enforced through the courts (enforceability).