Example of Lease Agreement
What is in a lease agreement? That is an excellent question, and
if you have never seen a lease agreement don't worry, you are
not alone. For those just now graduating from high school and
heading off to college to live on your own there is no time like
now to become familiar with a lease agreement.
To this end we will walk through sample a lease agreement and
highlight the major contents found within the lease agreement.
Hopefully this exercise will prove informative and help calm
your nerves before signing your first lease agreement.
To make it easier to follow along and truly understand the
contents of a lease agreement it is advised that you download
the sample lease agreement
here (Please note this links to a PDF file). This is a
simplified example of a lease agreement offered up by Penn State
Altoona.
Party to the Lease - The first part of a lease agreement
will almost always state the two parties that are involved in
the binding agreement. Normally these two parties are referred
to as the Landlord and the Tenant.
Property - Of course, the lease agreement must
specifically state the location of the property that is being
provided by the Landlord and leased to the tenant. As the
example shows, there will usually be a spot for the mailing
address of the location. This section also includes a provision
to state any and all furniture and appliances that are being
included in the lease agreement.
Term - The term of the lease agreement refers to the
period the property will be occupied and paid for by the tenant.
Typically this will include wording that states the term starts
on Jan 1, 2XXX and ends on Dec 31, 2XXX. Commonly this section
of the lease agreement includes a lease option to extend the
period of occupancy. For example, the tenant's lease option might allow him/her to extend the
lease another six months.
Rent - The lease agreement would be severely lacking if
it didn't includ terms for the monthly payment as well as the
date on which the payment is due.
Utilities/Services - The lease agreement should outline
who pays for what. Some Landlords will pay for everything, while
others will make the tenant foot the actual costs for utilities
and services.
Deposit - Most landlords will require a deposit upon
signing the lease agreement equaling one months rent. This
provides the Landlord some insurance should you try to skip out
on your last months rent or damage the property. However, if you
leave the apartment in good condition and your account is paid
in full, then you should receive most if not all of your deposit
back in the form of a check via the mail a few weeks after
moving out.
The rest of the lease agreement will vary from here on out
depending on what other terms and provisions the Landlord
chooses to include in the lease agreement. If your lease
includes additional lease options they may be included at the
end of the lease agreement as well. Now that you have a better
understanding of the makeup of a lease agreement signing your
first lease shouldn't be such an intimidating experience.
Adam Smith is an informational author for 10X Marketing. To
learn more about a lease agreement or rent to own option please visit
OneMinuteMillionaire.com