How do you write a lease agreement that protects your rights and responsibilities as a landlord?

1 Rent and security deposit

The first section of your lease agreement should specify the amount of rent, the due date, the payment method, the late fees, and the grace period. You should also state the amount and purpose of the security deposit, the conditions for its refund, and the interest rate if applicable. You should follow your state and local laws regarding the maximum amount and handling of the security deposit.

2 Maintenance and repairs

The next section of your lease agreement should define the responsibilities of both the landlord and the tenant for maintaining and repairing the property. You should list the tasks and expenses that you will cover as the landlord, such as landscaping, pest control, or major structural issues. You should also list the tasks and expenses that the tenant will cover, such as cleaning, trash removal, or minor damages. You should also include a clause that requires the tenant to notify you of any problems or defects that need your attention.

3 Utilities and services

The third section of your lease agreement should clarify who will pay for the utilities and services that the property requires, such as water, electricity, gas, internet, cable, phone, or trash collection. You should indicate whether these costs are included in the rent or billed separately, and who will be responsible for setting up and canceling the accounts. You should also mention any other services that you will provide or allow, such as laundry, parking, storage, or security.

4 Occupancy and pets

The fourth section of your lease agreement should limit the occupancy of the property to the tenants who signed the lease and their immediate family members. You should prohibit any unauthorized guests or subtenants from staying in the property without your consent. You should also state your policy on pets, whether you allow them or not, and what kind of restrictions or fees you impose. You should also reserve the right to inspect the property for any violations of these rules.

5 Subletting and assignment

The fifth section of your lease agreement should address the possibility of the tenant subletting or assigning the lease to another person. Subletting means that the tenant rents out part or all of the property to someone else, while assignment means that the tenant transfers their entire interest in the lease to someone else. You should specify whether you allow or forbid these actions, and what conditions or approvals you require. You should also state that the original tenant remains liable for the rent and the property unless you release them in writing.

6 Termination and renewal

The final section of your lease agreement should outline the terms and procedures for ending or extending the lease. You should indicate whether the lease is for a fixed term or a month-to-month basis, and what notice period you require for either party to terminate the lease. You should also explain the grounds and consequences for terminating the lease early, such as breach of contract, nonpayment of rent, or eviction. You should also state whether you offer an option to renew the lease and what terms apply.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?