Whether you are a landlord drafting a lease for a new property or a tenant considering the lease before signing — it’s very important to read through it carefully — you need to know what should be in that document. It’s a legal contract that helps define your rights and roles moving forward. It’s more than just the price of the home or apartment.
So, what should be in the lease? A few key things include:
- How much the monthly payments will be
- If there are discounted options, such as a one-time yearly payment
- The amount of the deposit
- The exact dates and times that the agreement covers
- The physical address that the property occupies
- What unit the person is renting out, if applicable
- The landlord’s name and the basic contact details
- The date on which the two entered into the agreement by signing the lease
- Any options to renew the lease and how they work
- Rent increase policies
- Payment options
- What appliances and furnishings the unit comes with
- What the policy is for keeping the deposit
- A checklist for previous damage to the apartment
- What happens if the tenant misses a payment
- If the tenant gets a grace period or not
- Whether or not the utilities are included and, if so, which ones are
- What the policy is for evicting a tenant
- If the tenant is allowed to sublet the space
By no means is this all a lease should contain, but it covers the basics and is a good place to begin. Make sure you understand exactly how this process works and what it means for you.