How to conclude a lease agreement

When transferring residential or commercial real estate for temporary use, a lease agreement is mandatory - it is an official document containing detailed information about the rights and obligations of the parties. An improperly executed agreement can lead to disputes and conflicts, which are likely to be accompanied by financial losses. Therefore, it is important to carefully consider the content of the paperwork, including all the necessary clauses.

Why do you need a rental agreement

The document defines who uses the property, how and under what conditions. It specifies who the tenant is, the characteristics and condition of the property, and the amount of payment. It protects the interests and rights of both parties:

• the landlord receives guarantees of timely payment, property safety and the ability to recover damages in case of damage;
• the tenant is insured against arbitrary rent increases or early termination of the agreement without good reason.

The specifics of the contract are the first thing you need to know when renting an apartment. If the terms are violated, it will be the basis for going to court and protecting your rights. And its absence is a violation of tax law, which may result in the owner being held administratively liable.

How to draw up a lease agreement

The content of the document should be as specific and comprehensive as possible. How to officially rent an apartment? Key details:

• only in writing - any oral agreements are not valid;
• notarization is not required - even without a notary's signature, the papers are legally binding if they are properly executed and certified by both parties to the transaction;
• amount and procedure of payment - it is important to specify not only the specific amount at the moment, but also the conditions for its possible revision (decrease or increase), as well as the terms and methods of payment.

How do you draft a lease agreement? Consistently set out the main details, supplementing them with clarifications. In this matter, the assistance of an experienced lawyer will be useful, who will tell you in detail about the possible subtleties and nuances, which will help to avoid misunderstandings. Additionally, it is worth drawing up an acceptance certificate, which records the current state of the object. The documents should be prepared in duplicate, but a third copy may be required for submission to the registration authorities.

Do I need to register an apartment lease agreement? This action is not mandatory, but may be performed at the request of one of the parties in accordance with Article 209 of the Civil Code of Ukraine. An exception is a lease with a subsequent right of redemption - in accordance with Article 811 of the Civil Code of Ukraine.

What clauses should an apartment lease agreement contain

The standard template contains several key sections, the list and content of which can be revised depending on the specifics of the agreement and the characteristics of the object to be transferred for temporary use. Below, we explain how to draft a lease agreement for residential or commercial premises.

General provisions

The basis that contains information about the parties to the transaction: Full name, contact details, address of registration, as well as detailed information on the location of the leased space, related or auxiliary structures, and their condition. Additionally, the date and place of signing the document may be specified.

The purpose of the lease

A tenant is a temporary owner who can use the premises only in accordance with the agreed terms and conditions. Depending on this, the following wording is introduced:

• for living - residential real estate;
• for commercial activities - office or shop;
• to perform production tasks - a warehouse or workshop.

This helps prevent misuse of space. It is also useful to specify the maximum number of residents so that it does not unexpectedly exceed the permissible standards.

The procedure for transferring an object

This is a key section that should be considered in as much detail as possible. How to draw up an apartment lease agreement:

• list all furniture, appliances and other items that are in the living and business premises;
• indicate the exact date of transfer of housing for temporary use;
• determine responsibility for the preparation of the facility - cleaning or repair.

This clause should be supplemented by an acceptance certificate signed by both parties, which will prevent unreasonable claims from being made in the future.

Rental period

According to the current legislation, the transfer is for 5 years, unless otherwise specified. If a short-term lease is meant, it means that the real estate is transferred for use for a period of up to one year. After this period, the agreement can be either extended without changes or revised.

Payment procedure

This part records all financial terms and conditions, including:

• cost;
• frequency of payments;
• payment methods - cash or bank transfer.

How to draw up a contract correctly? It is imperative to fix additional financing: utility costs, repairs, cleaning - who pays for it and in what time frame.

Rights and obligations of the landlord

It's important for the owner to keep the property in good condition, but regular inspections can be a lot of inconvenience to its new residents. Therefore, it is important to consider these issues comprehensively:

• the right to inspect the condition of the property;
• Troubleshooting technical issues;
• a claim for compensation for damage caused by improper or negligent handling.

The agreement should specify the role of the landlord: who they are, under what conditions they dispose of the property, and how often they or their representatives can visit the apartment.

Tenant's rights and obligations

The object may be used exclusively within the framework of the agreement - for living or commercial activities. It is forbidden to make changes without the landlord's consent. The consequences of property damage, as well as the amount and terms of the security deposit return, must be specified.

The procedure for returning an object to the owner

What is a lease? This is a transfer for temporary use, so the exact terms of return and its conditions must be determined. It is worth adding the requirement to return the property in its original condition, so all changes must be eliminated before leaving. The final stage is a joint inspection and drawing up an act.

Liability of the parties and dispute resolution

Neither party is immune from accidental or intentional breach of the terms and conditions, and you need to think through the procedure to be followed in this case. How to conclude a lease agreement for non-residential premises or an apartment to avoid conflicts in the future:

• determine the amount of fines or penalties for late payments;
• indicate liability for damages caused;
• formulate terms for repairing furniture, equipment or engineering systems, if necessary.

It's better to specify who calls the plumber and pays for his services to remove the clogged water supply, who is responsible for the annual cleaning of the air conditioner, and other nuances. Is the lease agreement legally binding? Yes, so if you can't resolve conflicts peacefully, you'll need it to go to court.

Addresses, bank details and signatures

This is the final section, which lists the full contact details of the parties and their signatures.

What documents are required for renting

The list of documents is minimal: the landlord will only need a passport, and the tenant will also need a title document for the property. Unlike a purchase and sale, it is only important to know how to draft a lease agreement to avoid any difficulties in the future. The written consent of all owners to lease the property will be a plus, but numerous certificates are not required.

How to terminate the contract

The simplest option is by agreement of the parties. In this case, at least 3 months' prior notice of intent is required. If no agreement is reached, you can go to court. That is why it is important to study in detail how to properly conclude an apartment lease agreement. It will serve as the basis for filing a lawsuit for breach of contract:

• absence of payment for six months or more;
• damage to property;
• change of living conditions.

There may be other reasons for terminating the agreement. Therefore, lawyers recommend recording every detail, avoiding verbal agreements.

Is it necessary to notarize the lease agreement

This is not necessary, except in the case of a lease with a subsequent right to purchase. Even without a notary's signature, the document is legally binding. The main thing is to know how to conclude an apartment lease agreement and prepare it in duplicate with the obligatory certification by the signatures of the parties to the transaction.