How does a rental contract work?
A rental contract, also known as a lease contract, is a legal agreement between an owner (lessor) and a tenant (lessee) for the rental of a property. It consists of:
1) Full names and addresses of the lessor and the lessee.
2) A clear and precise description of the property that is being rented, including the full address and any specific features.
3) The period of time during which the tenant has the right to occupy the property.
4) The amount of the rent and how and when it is to be paid. It also indicates the consequences in the event of late payment and if there is any scheduled increase.
5) A security deposit, which is generally returned to the tenant at the end of the contract.
6) The responsibilities of both parties.
7) If pets are allowed.
8) Who is responsible for paying for public services.
9) The conditions under which either party may terminate the contract.
10) The rules and terms of notification for changes in the terms of the contract.
11) Both parties must sign the contract and set the date to indicate acceptance and commitment to the agreement.
