Guide to Making a Solid Lease Agreement for Your Rental Property

Guide to Making a Solid Lease Agreement for Your Rental Property

Aug. 15, 2022

innovative property solutions lease terms

A lease agreement is a contractual agreement between the landlord and tenant. It sets forth the policies, clauses, and disclosures that tenants must abide by during the entire term they will be living there.

Now, it’s important that you create a lease agreement that is not only detailed but legally binding.

The following are answers to commonly asked questions regarding a lease agreement.

Who Can Draft a Lease Agreement?

You can draft a lease agreement either by yourself or by hiring a professional such as a property management company or a lawyer. If you’re renting out your home for the first time, hiring expert help may be ideal.

A professional will know what exactly to include in the lease, as well as the state laws and local policies to abide by.

You can also work with a template. This can be a good alternative especially if you’re working with a tight budget.

Why Do Landlords Require a Lease Agreement?

When renting out your rental property, it’ll be in your best interest to protect yourself and your property. Having a solid lease agreement will help you in this regard. It’ll help cut back time by answering repetitive inquiries and make your policies less prone to being violated.

lease or rental agreement

On the other hand, while oral agreements can be legally binding, they are usually easy to forget and can be subject to varying interpretations. And should a legal issue arise, you may have a hard time presenting your case in court.

What are the Basic Terms That a Lease Agreement Should Contain?

Although no two lease agreements are ever the same, there are certain basics that always remain the same. The following are some of the most important details that every lease should contain.

Names of All Adult Tenants Living in the Unit

Make sure the lease contains the real names of all adult tenants living on the property. This will make all of them legally responsible for abiding by the terms of the lease agreement. Therefore, you can evict either of them should you find them to have violated the agreement.

The Name and Address of the Property

This is a basic requirement that no lease agreement should miss. The address of the property must be specific and complete. You should also remember to include the door number, as well, if the unit is in an apartment complex.

The Date When Rent is Due

Don’t assume this. Jot it down on the lease to avoid confusion or misunderstandings. And while at that, also make sure to state the specific rent amount in both figures and amounts.

Terms of the Lease

Let the tenant know when their lease term will end. If renting out your property on a month-to-month basis, then the lease will technically have no end date. It’ll renew automatically until either party ends it by serving the other party a 30 days’ notice.

terms of the lease

However, if renting out your property on a fixed-term lease, then the end date will be certain. Usually, fixed-term leases run anywhere from 6 months to a year.

The Rules on Subletting

Will you allow tenants to sublet your rental unit? If so, then make sure to state the rules on the lease agreement. Let the tenant know about the requirements that the sublet must meet prior to occupying the property.

The Rules on Landlord Entry

As a landlord, you have the right to access your tenant’s rental premises. You may need to access your tenant’s rental unit to do any of the following. Carry out required or needed repairs. To inspect the unit. To show the unit to prospective tenants or buyers. Or, even to serve the tenant with a court order.

That said, even as a landlord, you cannot simply enter your tenant’s rented unit whenever you please. In the state of Florida, landlords must provide their tenants with a notice of at least 24 hours prior to entering their tenant’s rented unit.

The Tenant’s Obligation to Maintain the Unit

Landlords are required to provide habitable premises to their tenants. Tenants, too, also have an obligation to fulfill when it comes to repairing and maintaining their rented unit. The following are some common obligations they have in this regard.

maintenance and repairs

An Early Termination Clause

You may also want to let the tenant know whether they can break their lease before their term is over. An early termination clause can help you set forth the requirements that a tenant must meet prior to breaking their lease early. For example, paying an early termination fee and providing a month’s notice.

Note, however, that Florida tenants can break their lease without penalty in certain legally justified situations. The situations are as follows.

Disclosure of Certain Important Information

Your lease agreement must also state certain important disclosures. In Florida, you must provide your tenant four disclosures. They are as follows.

Bottom Line

Making your lease agreement clear and detailed is key to preventing issues with your tenants. For expert help, Innovative Property Solutions can help. We provide full-service property management services to Jacksonville property owners. Get in touch to get started!

Innovative Property Solutions

8833 Perimeter Park Blvd Suite 301, Jacksonville, FL 32216

(904) 321-9020

Office hours:

Mon - Fri: 9:30am - 5:00pm

Sat - Sun: Closed