When it comes to documents submission, we hear a lot about Rental Agreement. But what's that? Let me explain-
A rental agreement is an official contract or agreement between a property owner and the one who acquires a temporary possession over anything rented by the owner. A rental agreement could be anything from the real state, vehicle, to any personal possession like clothes, musical instruments, or things such as books, CD, DVD, shoes, or any machine or appliances. Generally, it is a month to month agreement. It is a tenancy of a short span usually of 11 months. A rental agreement is also known as a rent deed and lease deed which contains fundamental details of the residential property, the property owner, the renter, the term of the rental, and the amount of the rent for the said term. Though the purpose of the blog is to educate you on how to make a rental agreement, we will discuss the following topics as stated below:
- Advantages of obtaining a Rental Agreement
- Contents under the Rental Agreement
- Procedures for Rental Agreement
Legit document of protection- Rental agreement serves as a document of legal protection. While lending your property to someone, there is always a risk of protection, so it’s always recommended to have the rental agreement signed.
Maintaining the relationship between the parties- Whenever you make an agreement, it includes all the points that may lead to a skirmish in the future if not told before renting out the property. As the terms and conditions are already sketched out in the Rental agreement, this will help in maintaining a healthy relationship between both the parties.
Avoiding the unanticipated expenses- If you have the rental agreement made, before leasing out a property, there are benefits of evading the unannounced expenses in the future.
One must have a written rental agreement because the verbal agreement is not likely to be enforced in a court as it is not possible to hold the terms and conditions accurately in a vocal form.
So a written copy always serves as a proof of an agreement that you arrived on at the beginning of the lease.
Few examples of terms and conditions when you are signing an agreement for renting a property.
Duties of an owner
- Informing the tenants before visiting the property means not to make any surprise visit.
- The property must be neat and clean before renting out.
- Returning the deposit, after checking the property.
Duties of tenants
- Payment must be made on time, as decided in the agreement.
- Property must not be linked to any illegal activity.
- Both the parties can also discuss their needs and required, that they want to include in the rental agreement and come to a common ground.
- Secures unpredicted expenses: Such agreements are beneficial for both the landlord as well as the tenant since it secures the unpredicted expenses.
- Builds good relation: A rental agreement creates a better relationship among the landlord and the tenant since the rights and obligations are streamlined and precisely defined.
Offers legal protection: If the valuable asset is involved, then there will always be the requirement of a legal document. Hence, it acts as legal protection in the form of a rental agreement. The author is an expert on rental Agreement the keyword, click here for more interesting information
