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How to properly draw up an apartment rental agreement

Drawing up an apartment rental agreement is an important step to protect both parties in a rental situation. This agreement establishes the terms and conditions for an apartment lease, including the rights and responsibilities of both the tenant and landlord. The agreement should include areas such as the duration of the lease, amount of rent, security deposit, rental application and screening process, pet policies, and rules for maintenance and repairs. Having such an agreement in place ensures that everyone has a clear understanding of their rights and responsibilities, thus avoiding any misunderstandings and possible disputes down the line.

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In accordance with Russian legislation, citizens of the Russian Federation who own any real estate have the right to lease or rent it. The procedure for drawing up and concluding the relevant agreement depends on which persons are involved in the transaction (individuals or legal entities).

However, the owners of the living space often do not consider it necessary to conclude an apartment lease agreement with the other party (the tenant), although this document would allow them to avoid various contradictions that are often resolvable only in court and inevitably arise between the landlord and the tenant..

The most pressing problem solved by concluding a rental contract is the number of people living in a rented apartment. Also, when renting an apartment, it is very important to formally determine in advance the actions and responsibilities of the parties in the event of various emergencies..

In addition, if you are planning to rent an apartment, it is not uncommon for its owner to warn that he will be able to visit you with “checks” at any time. This is a direct violation of your rights as a renter.!

The next important point is unforeseen circumstances that may suddenly arise for one of the parties. Suppose you have agreed with a landlord to rent a dwelling for six months. A couple of months pass, and you suddenly receive a call from the owner of the apartment, demanding to vacate the premises within two days, since his daughter is getting married, and now she will live with her spouse at this address. What to do in such a situation? Conclude a lease agreement in advance!

A lease agreement for a dwelling, which people who are unfamiliar with legal terminology, call an apartment lease agreement, is a mutually compensated and consensual agreement concluded between the owner of the dwelling or an authorized person (landlord) and an individual who wants to get this dwelling into possession and use for living in it for a fee and for a certain period (hereinafter the tenant).

The object of such an agreement is an isolated dwelling, suitable for permanent residence. Such premises include: a residential building, apartment, part of a residential building or apartment.

The apartment rental agreement provides for mutual obligations of the parties. Consider the main responsibilities assigned to the landlord of the dwelling:

  1. For a certain fee, the landlord undertakes to provide the tenant with free living space for possession and use, while the rented space must be in a condition suitable for living.
  2. The renter undertakes to carry out the operation of the residential building, where the rented living space is located, in accordance with the relevant requirements..
  3. The landlord undertakes to provide the tenant with the necessary utilities.
  4. The landlord undertakes to ensure the repair work of the common property of the house and residential premises for the full provision of utilities.

Significance of concluding an apartment lease agreement

As for the second party (employer):

  1. The living space must be used exclusively for living.
  2. The tenant of the residential premises is obliged to ensure its safety.
  3. The tenant undertakes to maintain the living space in good condition..
  4. Reorganization and reconstruction of a dwelling by the tenant is carried out exclusively with the consent of the landlord.
  5. The tenant undertakes to timely pay the established fee for the use and ownership of the residential premises.
  6. The tenant undertakes to independently make monthly utility bills, unless the rental contract provides otherwise.

How to draw up an apartment rental agreement

Depending on the term, there are two types of contracts: short-term and long-term. A short-term apartment rental agreement is concluded for up to 1 year, and a long-term one – up to 5 years. If the contract does not stipulate the terms of its validity, then the contract is considered concluded for 5 years.

A typical apartment rental agreement, a sample of which is published on the official website of ready-made forms, you can download here:

  1. Long-term rental agreement for residential premises – download.
  2. Short-term lease agreement – download.

With mutual consent of the parties, amendments or additions may be made to the terms of the contract..

What to look for when signing an apartment rental agreement

Before signing a lease agreement for an apartment, a potential tenant needs to ascertain the eligibility of the owner of the dwelling, that is, the landlord must submit documents of title according to which the apartment belongs to him. This can be a certificate of ownership of a residential property, a sale and purchase agreement, an exchange agreement, a donation agreement, or a court decision on the ownership of this immovable property..

Significance of concluding an apartment lease agreement

In the event that a rental agreement is signed by a representative of one of the parties, the authorized person must attach a written authorization (power of attorney) to confirm his or her eligibility. It is important that the competence of such a representative includes the right to sign the rental agreement and receive rent..

If the landlord is a person who has not reached the age of majority, then in order to conclude a lease agreement for residential premises, an appropriate permit on behalf of the guardianship and trusteeship authority.

As a rule, an apartment lease agreement is concluded for no more than 5 years. In accordance with current legislation, an agreement concluded for a period of more than one year is necessarily subject to state registration.

“The insurance deposit will protect against losses”

It should be noted that in many cases the rental of residential premises is not complete without a security deposit or cash collateral. What is it for? This amount is a kind of insurance (compensation) against possible damage caused during the operation of the living space. Also, the expense of the advanced amount occurs in case of unforeseen circumstances. For example, the tenant moved out of the rented apartment and deliberately did not notify the landlord about this, in which case the owner has the right to take the insurance deposit made against the last month of the lease.

Significance of concluding an apartment lease agreement

The insurance deposit protects the landlord of the residential premises from material losses, increases the level of responsibility of the parties to the contract and the security of the terms of the transaction. As a rule, the size of the deposit is equal to the amount of the monthly rent, but its value directly depends on some conditions. Agree, if the “fugitives” leave you huge phone bills, then a security deposit in the amount of a monthly rent will obviously not be enough, and the search for an unpaid tenant and bringing him to justice in court will cost you even more.

It is necessary to realize that the size of the amount of the security deposit directly depends on the responsibility that it provides. Therefore, the indication in the lease agreement of the residential premises of the procedure for making and returning the deposit is mandatory!

Who benefits from concluding an apartment rental agreement

Based on the above, we can conclude that the lease agreement is beneficial both to the landlord (apartment owner), since the property belongs to him, and the agreement is the guarantor of compensation for damage caused to the property, and to the tenant, because the apartment lease agreement ensures a quiet residence of the tenant and protection of his rights in case of violation by the lessor of the established requirements.

Registration of an apartment rental agreement

Registration of an apartment rental agreement is a procedure aimed at legitimizing this transaction. It should be noted that registration of a lease agreement is not required if the agreement is duly executed. However, the presence of certain circumstances makes it necessary to obtain “government approval”. Such cases include:

  1. Premises are leased for more than a year.
  2. The parties to the agreement are legal entities (or at least one of the parties acts as a legal entity).

Registration of a lease agreement for an apartment is accompanied by the introduction of an appropriate entry in the Unified State Register of Rights, after which the document becomes legal. Registration of the contract protects your rights and interests, and also confirms the legitimacy of the transaction.

In order to register a simple apartment rental agreement, one of the parties must submit an application, attach a receipt for registration payment, two copies of the premises lease agreement (or more, depending on the number of parties to the agreement) and an explication of the premises, which can be pay order at the bureau of technical inventory.

Registration of such an agreement is desirable if:

  1. You don’t trust your tenants too much.
  2. You need to periodically leave the city in which you rent out living space.
  3. You don’t have enough time to control the safety of your rented property.
  4. You want to hedge against unpleasant consequences.

As for the tenants, the only thing that is required of them is a signature in the agreement, but if the tenant refuses to register the document, this is already a reason for the apartment owner to think..

It is worth to be wary

When concluding a rental contract, be vigilant if:

The cost of living space is much lower than its market value.As a rule, it is possible to find cheap rented accommodation only “by acquaintance or kinship”, in other cases such an offer is another reason to be wary.

The owner of the residential premises rushes the process of concluding an agreement and transferring money, while not insisting on a detailed inspection of the apartment.In such a situation, any hasty decision can lead to disastrous consequences for the employer. By hastily concluding an agreement, you are missing out on the opportunity to make claims to the homeowner about inappropriate living conditions. The signature in the agreement and the transfer of money is the last stage of the transaction. First of all, pay due attention to the condition of the gas equipment, electrical wiring, plumbing, door locks, furniture, the health of electrical appliances and household appliances, as well as the general condition of the apartment. Additionally, in the contract, you can make a list of household appliances and pieces of furniture, the degree of their deterioration, condition and functionality.

Significance of concluding an apartment lease agreement

Certify the certificate of transfer of money using a receipt.Financial calculations are an integral part of all rental transactions – the transfer of funds from the tenant to the owner of the dwelling. Based on the current legislation, the issuance of receipts is recommended in case of settlements exceeding the amount of 10 minimum wages, however, in practice, the presence of a receipt is desirable for smaller amounts. Agree, it is much easier and more effective to defend your interests if they were documented, especially since the receipt has legal force, and is also an irrefutable proof of mutual settlements.

The receipt is very simple to draw up and, as a rule, does not require notarization. It is enough for the parties to indicate their passport data, registration and actual residence addresses, the amount of money and the subject of payment.

Scammers count on your carelessness

The haste and inattention of clients interested in housing plays into the hands of unscrupulous landlords, so spend as much time as possible studying the personal documents of the apartment owner, the documents of title according to which the apartment belongs to the owner, the landlord-tenant relationship, and the rules for making financial settlements.

Significance of concluding an apartment lease agreement

Summarize

The lease agreement for residential premises fully regulates the most important legal relations between its parties – the tenant and the landlord. The duration of the lease agreement for residential premises affects the formality of its conclusion (short-term or long-term), as well as the need for registration in the Unified State Register.

Significance of concluding an apartment lease agreement

The landlord and the tenant have the right to protect themselves from negative consequences by checking documents, concluding a lease agreement for an apartment, registering in the Unified State Register, making an insurance deposit, as well as conducting financial calculations in writing.

The apartment rental agreement acts in the interests of both parties, establishes mutual responsibility and provides all the necessary guarantees.

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Comments: 3
  1. Sage

    Can someone please share tips on how to effectively draft an apartment rental agreement? What important clauses should be included to protect both the tenant and the landlord’s interests? Any suggested resources or templates that could assist in ensuring a fair and legally binding agreement? Thank you in advance for your guidance!

    Reply
    1. Harper King

      When drafting an apartment rental agreement, it’s crucial to include important clauses that protect both the tenant and the landlord’s interests. Some key clauses to consider are the duration of the lease, rent payment terms, security deposit details, maintenance responsibilities, house rules, and conditions for termination of the agreement.

      To ensure a fair and legally binding agreement, it’s advisable to seek guidance from legal professionals or use templates provided by reputable sources such as government websites, real estate associations, or legal documentation services. These templates can help ensure that all necessary clauses are included and that the agreement complies with relevant laws and regulations.

      Additionally, it’s important to clearly outline any specifics unique to the rental property or arrangement, such as parking arrangements, utilities, pet policies, and any additional fees or services included in the rent. Communication and transparency are key to avoiding future disputes and ensuring a positive renting experience for both parties.

      Reply
  2. Harper Turner

    Can you please provide step-by-step guidance on creating a comprehensive apartment rental agreement? What specific details should be included to protect both the landlord and the tenant? Are there any legal requirements or specific clauses that should not be overlooked? Thank you!

    Reply
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