An agreement between a landlord and their tenant that stipulates certain rules that both parties should follow is called a rental lease. It is a written contract that is legally binding and can be used in court in case either party is in breach of the agreement therein. The rental lease not only safeguards your property as a landlord but also gives clear guidelines to the tenant on what is required of them during their rental period.

Your rental lease agreement should include these 5 important provisions:

The Basic Stipulations

  • The lease should have the landlord’s name and that of the tenant.
  • The type of tenancy- whether periodic or fixed term.

Periodic tenancy implies that the tenant can live in the property for as long as they want. There is no end date and rent is paid periodically, usually on a monthly basis. A fixed term tenancy means that there is an end date to the lease and after that date the tenant moves out.

Security Deposit

5 Contract Provisions You Need In All Your Rental Property Lease Agreements

Here the tenant is required to pay up front, a deposit fee that is no more than the rent. This amount is refunded to the tenant after they move out in full if the landlord is satisfied that no property was damaged during the tenure. The deposit amount is deducted of damages if any property was damaged or is missing from the premises. In some areas, the tenant and the landlord agree that the deposit covers the last month’s rent before the tenant moves out and it is therefore not refunded.


This clause stipulates who should do what in the premises, and whether dangerous or damaging activities will be permissible on the premises. According to Amoso Properties, damage from pets can easily cause more than $10,000. Noise control is usually a requirement that should be maintained and noise complaints from neighbors can be treated as an offense. The tenant is responsible if their pet damages property. In the event of damages, the tenant is allowed to either do repairs or pay the amount required as damages.

Rent Amount

5 Contract Provisions You Need In All Your Rental Property Lease Agreements

It should be indicated in the rental lease the amount to be paid as rent, when the amount should be paid, through which channels it should be paid-either cash or wiring money through the bank and to whom the rent should be paid to. Delays in rent payment can be charged as additional fees and the amount should be stipulated here. Some landlords require additional fees if you have pets within the premises.


In some legal jurisdictions, the tenant can sublet part of or the entire rental space to someone else if the clause in the tenancy agreement allows it. The tenant is supposed to notify and ask for permission from the landlord for subletting in a written consent form. The landlord can accept or decline signing the written consent form. If the landlord agrees for the tenant to sublet, the sub-tenant is not liable to the landlord but to the tenant. The tenant now becomes the sub-landlord. The initial agreement between the landlord and the tenant still stands.

The landlord is not allowed to add every condition that they want into the tenancy lease agreement. The conditions must comply with the law.
Conditions allowed by the law that the landlord can add:

  • Whether or not the tenant can have pets. Usually only domesticated petsare allowed
  • The number of people who can live in the rental house
  • Whether or not the tenant can smoke in the house
  • Where the tenant is not allowed to park their car

Compliance by both parties to the lease agreement is important for the landlord and the tenant in order to have a great rental experience. Communication between both parties should be maintained if any changes or irregularities in the lease agreement occur to avoid unnecessary lawsuits. A sit down between both parties to agree on the way forward is a good way to resolve small disputes for a more favorable landlord-tenant relationship. And even when you think you’ve found your ideal tenants, remember to buttress your protection with adequate liability insurance.

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