Renting out a home for a long term requires a well-drafted contract that defines the terms, responsibilities, and obligations of both the owner and the tenant. As a potential landlord looking for a way to rent out your property, understanding the key elements that a rental agreement should contain is essential to ensure a smooth and legally sound interaction. This article will guide you through the key components that a contract should include to protect your interests and create clear expectations in your tenants.
- Subject of the contract and description of the property: A clear definition of the subject matter of the contract and the type of apartment rental, as well as an accurate description of the property being rented - its full address and all specific details that describe the object and the condition in which you are renting it.
- Rights and obligations of the landlord: Defining your responsibilities as the property owner regarding maintenance and any repairs. A description of the procedures for reporting maintenance issues and defining the terms for emergency repairs. The terms and/or frequency of your right to access the property, including notice requirements for routine inspections, repairs and/or emergencies. However, remember that it is important to respect the tenant’s rights and privacy while your property is their home.
- Tenant rules and obligations: A description of all the rules and obligations that the tenant must comply with while living in the apartment, as well as any restrictions regarding pets, smoking, noise levels or changes in the furnishings and type of the apartment. It is mandatory to also include conditions for payment of utility bills and entrance fees, outside of the property rent, with deadlines and penalties for late and/or non-payment.
- Rent amount and payment terms: The monthly rent amount, payment due date, and acceptable payment methods should be clearly defined. As well as late fees/penalties and a description of the consequences of non-payment, to ensure that the tenant understands their financial obligations throughout the term of the contract.
- Term, termination and renewal of the contract: Define the procedures for terminating the contract, including notice periods required by both parties and penalties for termination before the contract expires or beyond the period specified for giving notice. Consider the possibility of renewing or extending the lease automatically, if both parties have no other intentions.
- Deposit determination: A description of the amount of the deposit, the conditions for its return, and any deductions that may be made for damages exceeding normal depreciation of the property, its furnishings, and its appliances. It is important to define specific reasons and examples for any withholding or partial return of the deposit. Check and align the amount and conditions of the deposit with the relevant legal requirements to protect the interests of both parties.
- Signatures and date: Make sure that the rental agreement is signed by both parties, and that each party has its own original copy - the document is insurance for both you and the future tenant. Do not forget to enter the date of signing to establish the effective start of the contract.
Keep in mind that the components described above are intended to provide you with a summary of the most important elements and content of a rental agreement to look out for and adhere to when entering into a deal. However, in case you want to save yourself the time and effort of researching and reading between the lines of various sample contracts, you can get ready-made template, prepared by a lawyer completely free of charge from flatimoAll you have to do is fill out the contact form. here and within 24 hours you will receive a ready-made contract.