Whenever you relocate from one location to another with a temporary residential address, a rent agreement is the first thing to consider. While getting a property on rent or lease, a rental agreement between property owner and tenant is necessary. It protects both parties from complications that may occur due to several circumstances in the future.
Usually, property owners already have some copies of rental agreements. Whether they are providing a readymade copy or you have to prepare a fresh one, there are some important factors to consider in both situations. Scroll down for more information regarding a free basic rental agreement between property owner and tenant.
Important things that should be included in a rent agreement
- Rent payment intervals can be annual, half-yearly, quarterly or monthly. Some property owners also provide space on a weekly basis for tenants who are leaving temporarily.
- The security deposit value must be mentioned clearly. At the time of checking out, it must be fully refundable.
- What are the terms of contract renewal? All terms and conditions should be mentioned clearly in the form.
- How much rent percentage will increase after a certain period of time that can be one or two years. Consider this point seriously if you are planning to live there for a long time.
- The name and contact details of the property owner should be clearly mentioned. If there was a property dealer involved, his details should also be available.
- Mention the payment methods on which both parties are agreeing for transactions.
- What are the conditions imposed for property damage? What will be the penalties if something unfavorable happens?
These things must be mentioned in both the sublease agreement and the room rent agreement of tenants.
Lease and rental agreement or two different things
Don’t get confused between getting a property on rent or lease. The basic difference between both of them is duration. A lease is a long-term contract that usually gets renewed after a year. On the other hand, rental agreement installments are payable on a monthly basis. If you are planning to live somewhere for a long time, a lease agreement would be a better option.
Important information required to create a free rental agreement
- Basic information relevant to the property including its owner and address.
- Who will take responsibility for repairs? If there is any issue regarding electricity supply, plumbing or damaged infrastructure, the property online should have appointed someone whom you can contact.
- If you are getting furnished goods and some appliances in the apartment or room by the property, don’t forget to mention their details.
- Are they allowing pets on the property or not?
- Extra charges applicable on services like parking, water supply and electricity should be mentioned clearly.
A free basic rental agreement is useful for both parties to clarify all the confusion in advance. It prevents unnecessary disputes because of the unclarity in terms and conditions of living.