Important Aspects of Real Estate Agreements

 

Real Estate Agreements are the contracts / agreements between two parties regarding a property. The two major types of real estate agreements are mainly concerning the residential and commercial property. The lease and rental agreements for real estate are governed by strict laws, and unlike other cases, the jurisdiction of the real estate agreements is based on where the property is located, and not the location of either parties.

Why is a written lease agreement essential?

Any agreements need to be written and legalised to prevent hassles or problems that might crop up later. A verbal agreement has no proof, and is difficult to remember and enforce legally. With time the contents of the agreement can be forgotten or changed as required by either party without due information to the others concerned, and this might be a problem. In case of disputes, a written agreement is the only permissible evidence in the court.

The lease agreements between two parties are best written down, and this helps the court enforce it and uphold the terms that have been agreed upon by both the parties. This also prevents either party from including any kind of terms that are either invalid or unlawful. Getting this to a proper attorney is also important, to make sure the legal terms are enforced.

The defining terms of a residential lease agreement

A residential lease agreement is drawn between two parties, known as the landlord (aka the lessor) and the tenant (aka the lessee). The third person involved would be the guarantor, who gives a surety that they would be responsible for paying the rent in case of any losses that are incurred by the landlord.

The landlord is responsible for giving over the property in a particular habitable conditions with all the necessary amenities. As they own or manage the property, the decisions are made by them. The tenant is the person who takes over the property and stays in the premises for a time period in exchange of regular rental payments. The term period of the rental agreement dictates how and when the rent will be paid to the landlord for the tenure of stay.

The terms that specify the obligations of each party

The rental lease agreement also specifies, in writing, the obligations of both the parties involved in the agreement. Both the obligations and the rules are also influenced by the location of the property, and the laws that are specific to that state.

The landlord’s obligations include providing the tenant with access to the property, to repair and maintain the property, and promising no unreasonable disturbances during the period of stay. The tenant’s obligations include regular payment of rent and proper maintenance of the property without excessive repairs in the premises during the tenure of stay.

Specifying the other clauses

In case either party, (or most often the tenant) breaches the terms of a lease, and the differences become huge, the damages have to be compensated in terms of money. Any repairs and arrangements that are made during the stay that are found as intentional breach of the agreement can be grounds for eviction.

Attorneys at Garfield Logan Law specialise in real estate agreements and leases.