Sample Lease Agreement Format for Basic Residential Rental
Do you need a standard residential lease agreement? First, a lease agreement is a legal document that contains the contract entered into between a lessor and lessee. The lessor is the owner of the property, while the lessee is the person renting the property. In this article, we will be providing you with a sample commercial lease agreement.
SIMPLE ONE PAGE LEASE AGREEMENT
This free printable basic rental agreement contains the major sections of the document. If you have wondered how this document is structured or are interested in writing one, then read along.
The Major Sections of a Lease Agreement
A Lease agreement is made up of major sections known as articles. These articles include the following; grant of a lease, lease terms, extensions, determination of rent, security deposits, taxes, construction and completion, obligations for repairs, tenants covenant, indemnity by the tenant, and use of the property by a tenant. Other sections include signage, insurance, damage to demised properties, condemnation, default, title, and extensions/disputes/waivers.
Simple Tenancy Agreement Sample
Our sample lease agreement will also contain other articles such as property damage, options to purchase, and miscellaneous. all the above-mentioned sections are structures upon which the entire agreement rests.
- Article I: Grant of Lease
Under the grant of lease article, the property is given by the lessor to the lessee. The lessor, in this case, is the landlord while the lessee is the tenant. The landlord leases the property to the tenant based on the agreements and covenants entered into by the two parties. The tenant is to uphold their part of the agreement by paying the specified rent required as at when due.
- Article II: The Lease Term
This section stipulates the duration of the lease. This normally starts from the commencement date, with a specified date of termination. Some lease agreements require that notice of renewal be given before the date of termination. That is if the lessee is interested in renewing the lease contract.
- Article III: Lease Extension
Under this article, lease extension is granted after fulfilling all the requirements agreed upon in writing and signed by both parties.
- Article IV: Determination of Rent
Under this section of our lease agreement, the rent is determined by the landlord. The tenant agrees to pay the landlord the specified some. It is important to note that a late fee payment may apply under this agreement. The late fee may be given as a percentage of the total rent. This means that there will be a set date of payment. Failure of meeting up to the payment deadline will result in late fee payment.
- Article V: Security Deposit
The security deposit under this lease agreement requires that the tenants deposit a specified sum. This is returned to the tenant only after fulfilling all the conditions outlined in the lease agreement.
- Article VI: Taxes
All copies of real estate taxes relating to the property are presented to the tenant by the landlord. This will apply for as long as the tenant leases the property. Payments of all assessments relating to the property are also borne by the tenant.
- Article VII: Construction and Completion
In a situation where the tenant seeks to improve the property, they are expected to include all documents relating to planning and specifications, including certificates, permits, and licenses issued by relevant governmental agencies.
- Article VIII: Obligations for Repairs
This part of the lease agreement requires that the landlord keep the property free of any major defects. Otherwise, all maintenance should be carried out by the tenant.
- Article IX: Tenant’s Covenant
Under the tenant covenant lease agreement, the tenant is required to return the leased property peaceably and in good condition to the landlord. The only exception to this is in the event of a fire or similar tragedy that must have been covered by the insurance provided by the landlord.
- Article X Indemnity by Tenant
Under the indemnity section of the lease agreement, the tenant is expected to protect against all forms of damages or injury that may occur on the property. However, when the cause of such damages is as a result of the negligence of the landlord, then such indemnity shall be provided by the landlord. This protection is in form of public liability insurance.
- Article XI: Use of Property by Tenant
The use of the property by tenants states clearly the limit of usage of such property as provided by the lessor. The tenant is not expected to exceed or violate the agreed-upon terms.
- Article XII: Signage
All types of signs erected or mounted on the property are expected to be removed and everything returned to its original state at the end of the lease term. This section holds every agreement entered into between the landlord and the tenant as regards the use of signs on such property.
- Article XIII: Insurance
This is an important part of the lease agreement. Under this section, the tenant is responsible for adjusting and settling all insurance claims with the insurance companies issuing the policies. Details of the insurance agreements slightly vary from one property owner to another. Also, it is influenced by the insurance laws of the state where such properties are located.
- Article XIV: Damage to Demised Property
If there is damage to the property after the lease agreement has been signed, then there would be an adjustment of the rent. These adjustments will be according to the level of damage and the section or portion of the property the tenant will no longer have use of.
- Article XV: Condemnation
If the ownership of the property is transmitted to a public or private entity after the commencement of the lease and before its expiration, unearned rent is refunded to the tenant. This eliminates all forms of confusion that may arise due to any eventuality.
The default, title, extensions/waivers/disputes, property damage, options to purchase, and miscellaneous all important parts of our sample lease agreements. This is an example of a residential lease agreement that ensures that there are little or no conflicts between the lessor and lessee.