Rent Agreement Template | Awesome Sign

Rent Agreement Template

Rent agreements are a very important document to have in order to protect oneself from potential disputes. There are many things that go into the making of a sound rental agreement, and this article will discuss all of them in detail.

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Rent Agreement

Rent agreements are essential documents needed before hiring a property or space. Without these
bonds, one cannot be assured of complete security and stability. These agreements help secure the
owner's property and, at the same hour, give tenants a reliable stay. To know all details about rent
agreements
, read to the end. We have all insights to assist you perfectly.

Rent Agreement: What Is It?


This agreement is a document that is drafted or signed by the tenant and owner to initiate and
secure a rental period. Rent agreements list all details about the parties, i.e., the owner, the tenant,
and all the terms structured in the tenancy. The parties need to agree and sign this bond to
commence further with the other procedures.

You could use Awesome Sign's easy to use electronic signature to easily edit pdf template.

Validity of the Agreement


To save owners, renters, and additional expenses, one must avoid making a verbal agreement. Such
agreements are not considered valid and do not hold any proof. Some individuals also document and
draft a rent agreement but fail to register. Again, along with a written document, registration is
important.

Both parties are held accountable to bear a registration fee if a rent bond is drafted and registered.
The owner must also record the rental income after the bond attains legal validity. But, drafting a
rent agreement without registering it is not legal and can be highly risky for the business and the
parties, specifically in case of disputes.

It does not acquire legal validity until a rent agreement is not registered with the sub-registrar's
office. Both the parties need to agree to the terms listed in the agreement, and the bond should be
favorable to them for it to get registered. After creating the agreement, the landlord must get a copy
of the bond printed on stamp paper. After the owner and the renter have signed the bond with at
least 2 witnesses, they must register the agreement and pay the necessary fees to proceed.

Lastly, the owner and renter must be present before the authorities when demanded to get their
rental agreement registered successfully.

Key aspects of a rent agreement

  • Details of owner and tenant: Name and Address.
  • Signs of both parties.
  • Rent amount.
  • Deposit amount.
  • Maintenance fees.
  • Rent duration.
  • Duties/rights of the owner.
  • Duties/rights of the renter.

Vital terms to mention in the rent agreement

For renters

Token and deposit amount
When the renter moves out, the bond must precisely list the security deposit and the terms related
to the same. Must also list the token amount that the renter has given to the landlord.

Number of tenants
All the occupants who reside on the property must be mentioned in the agreement. Also, the bond
must list terms associated with adding new members.

Repairs
One must also mention the party providing the repair and other relatable costs.

Maintenance
The bond must properly state which party will be liable to bear the monthly maintenance.

Visitors
Visiting timings and relatable clauses must also be listed in the document.

Pet terms
Not all landlords permit pets, so listing terms related to this aspect is vital.

Rent receipt
To benefit from tax and other components, one must submit their tax receipt to the employer. So,
all renters must ensure that they take these receipts and submit them to the landlord after initiating
the payment. One does not need to take these receipts every month. They can be collected on a
quarterly, annual, or half-yearly basis.

For Owners

  • Terms related to vacating the property.
  • Visiting time.
  • Property damage and its consequences on the renter.
  • Terms related to subletting.

Rent hike
As per the Draft Model Tenancy Act, 2019, owners do not have any authority to hike the rent for the
entire rental period mentioned in the agreement. If the rent expires after a specific time, for
instance, the owner cannot raise the rent each month or every 15 days. Only after the bond has
expired and a new one is created can the owner demand an appraisal from the tenant. Usually, the
amount does not exceed ten percent and must be increased within these limits. Further, the owner
must extend three months to the tenant before hiking the rent as per the act.

Penalties for Delays in Rent Payments


The draft also clearly states that if a tenant exceeds their stay without a new registration, they will
have to pay double their rent in the initial two months and 4 times more in the following months.

Benefits of Rent Agreements
One must know the perks of using a rent agreement before drafting. Identifying these profits can
assist you in making a suitable rent bond for your property.

  1. Saves Damage Expenses 
    


    Along with communicating about damages, it is also necessary to list them in the agreement. A word
    with the landlord is good but mentioning it in the agreement leaves no space for confusion for both
    the parties.

  2. Necessary for Bank Loans 
    


    If you wish to opt for bank loans, you necessitate a rent agreement. These documents are vital for
    submitting valid address proof.

  3. Identity proofs 
    


    Most important documents demand an address proof for their completion. Without the rental
    agreement, you will not be able to issue a passport, license, and other important papers if you reside
    as a renter. So, acquiring this document is a must for apt use.


Rent agreements must be issued before moving into any property. These vital documents play a
significant role in better security and reliability. Use these important papers to safeguard your stay
and remove the hassle of other procedures.

Use Awesome Sign to get started, and sign your pdf documents effortlessly.

Template

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Month-To-Month Rental
Agreement Template












Prepared for:

[Tenant.FirstName] [Tenant.LastName]

[Tenant.Company]



Created by:

[Owner.FirstName] [Owner.LastName]

[Owner.Company]












                                                                                
Property: [Property.Name]
Address: [Property.StreetAddress]
    [Property.City][Property.State][Property.PostalCode]
            

[Owner.FirstName] [Owner.LastName] (Owner) and [Tenant.FirstName] [Tenant.LastName] (Tenant) hereby
enter into a month-to-month rental agreement for the above listed property (Property) pursuant to the terms
of this agreement. This agreement shall commence on [Commencement.Date] and continue on a month-to-
month basis so long as Owner and Tenant wish. This agreement is not a lease. If Owner or Tenant wish to
engage in a formal multi-month lease agreement at any time, a separate lease agreement will be required.
This month-to-month rental agreement shall be considered null and void upon (a) cancellation according to
the terms below, or (b) signature of a formal multi-month lease agreement by Owner and Tenant.

Rent & Fees


Monthly rent for the Property is $[Rent.Amount] per month. Rent for each month is due in advance, no later
than the 3rd of each month. Rent does not include any of the following, which are the sole responsibility of
the Tenant:

  • Gas
  • Electric
  • Water
  • Trash
  • Internet/TV/Phone Service
  • Garbage Pickup

Rental Payment may be made in the form of cash, check, or money order at the following address:

                                                                                                                                                 
[Owner.StreetAddress]                                                                         
[Owner.City] [Owner.State] [Owner.PostalCode]                                                                         

If payment is sent via mail, Tenant is responsible for ensuring payment is delivered to the Owner by the 3rd
of each month, and is responsible for any late fees caused by delayed delivery.

If rent is not paid by ......am/pm on the of each month, Tenant agrees to pay a late fee of
$[LateFee.Amount] in addition to the monthly rent amount. If Tenant is unable to pay monthly rent in
accordance with this month-to-month rental agreement, Owner reserves the right to serve notice to vacate
the Property in accordance with [Property.State] law.


Occupancy


Property is to be occupied only by Tenant and their dependents (listed on the final page of this agreement).
While Owner recognizes the Tenant's right to have occasional guests, Owner reserves the right to be
notified of any guests residing in the Property for longer than ........................... (**) days in a given month.
Tenant agrees not to sublet, assign, share, or rent space to guests not listed on this agreement without prior
written consent of the Owner.


Pets


Tenant agrees to have no pets residing at the Property without prior written consent from the Owner. The
table below lists the pets which the Owner is currently aware of, and has approved for occupancy at the
Property:

                                  Pet Type                                                                     Pet Description                                  
[Pet1 Type] [Pet1 Description]

Deposits


Tenant is responsible for paying to Owner a refundable security deposit of $[Deposit.Amount] prior to
establishing residence at the Property.
This deposit will be held by Owner for the Duration of this month-to-month rental agreement, and will be
returned to Tenant if Tenant chooses to end this agreement and vacate the premises according to the
cancellation terms below.
Owner reserves the right to issue partial refund of the deposit at the conclusion of Tenant's residence at the
Property in accordance with [Property.State] law. This includes deductions for:

  • Repairing damage caused to the Property by Tenant & their guests
  • Cleaning beyond normal wear & tear
  • Unpaid rent, late fees, or utilities

Maintenance

Tenant is responsible for day-to-day maintenance of the Property. Owner agrees to perform routine
maintenance including:

  • Annual HVAC Servicing
  • Annual Roof Inspection

Additionally, Owner agrees to be held responsible for any mechanical breakdowns within the Property,
including plumbing & HVAC breakdowns not caused by improper use or neglect by the Tenant.

Privacy


The Owner recognizes the Tenant's right to privacy as required by [Property.State] law. Thus, Owner agrees
to enter the Property only for the following reasons:

  • in case of emergency
  • to make necessary or previously agreed-upon repairs, modifications, or improvements to the
    premises

Agreement Cancellation


This month-to-month rental agreement may be cancelled by either the Owner or the Tenant at any time. To
allow for reasonable preparation by both parties in the event of the agreement's cancellation, both Owner
and Tenant agree to provide ............... (**) days' written notice of their desire to cancel this agreement.

Approved Occupants


Owner hereby acknowledges and approves the following individuals for residence at the Property pursuant
to the terms of this month-to-month rental agreement:

                         Occupant Name                                                   Occupant Age                         
                                                                     
                                                                     
                                                                     
                                                                     
                                                                     

This is a legally binding document. Please read each section of this month-to-month rental agreement
thoroughly before signing. This document is intended to define the rights & responsibilities of all parties
involved (property owner and tenant). If any issues shall arise during the duration of this agreement that are
not specifically addressed above, such issues shall be resolved in accordance with the laws of
[Property.Country] and the state of [Property.State].


[Owner.Company]                                                              [Tenant.Company]





[Owner.FirstName] [Owner.LastName]                            [Tenant.FirstName] [Tenant.LastName]