Tuesday, 6 August 2024

What to look out for when entering into a tenancy agreement

A lease is a legal document that governs the relationship between a landlord and a tenant when renting property for a fixed period of time and under certain conditions. The content of the tenancy agreement is crucial to clearly define the rights and obligations of both parties and to avoid any future disputes. The lease agreement must contain the following key elements:

1. Identification of the parties - the landlord (owner) and the tenant (occupier).

2. Description of the property - a detailed description and address of the property to be rented.

3. Duration of the lease - the specific date of commencement and end of the lease.

4. the amount of the rent - the amount of the rent, the method of payment and any costs not included in the rent clearly specified.

5. method of payment of rent - setting out the time limit for payment of rent and any security deposits.

6. security deposit - specifying the amount of the security deposit and the conditions for repayment at the end of the tenancy.

7. Conditions for extending the lease - if the lease can be extended, this should be clearly specified.

8. Landlord's rights and obligations - specifying the landlord's obligations, such as maintaining the property, providing basic living conditions, etc.

9. Tenant's rights and obligations - indicating the tenant's obligations, such as paying rent regularly, taking care of the property, respecting the rules, etc.

10. Use of the property - specifying the restrictions on the use of the rented property.

11. Termination clause - the conditions and time limits for unilateral termination of the tenancy agreement by either party.

12. Contract costs - specification of who bears any costs related to the lease contract, such as taxes, costs of authentication of the contract, etc.

13. Liability for damages - to determine liability for any damages caused by one of the parties or a third party.

14. subletting - if subletting is allowed, this should be clearly defined.

15. Other provisions - additional provisions relevant to the tenancy, such as prohibitions, visitation rights, dispute resolution, etc.

These elements are essential to properly regulate the tenancy and to ensure clarity and fairness for both parties. It is advisable to take into account the applicable legislation when drafting the tenancy agreement and to consult a legal expert if necessary to avoid possible legal complications in the future. It is therefore essential that the lease agreement contains all the above elements and is carefully drafted and signed by both parties.