A rent agreement between two parties namely landlord and tenant, by which the landlord allows the tenant the right to the use a property owned by the landlord for a specified period of time, in exchange for periodic payment of rentals.
The agreement does not provide ownership rights to the tenant. However, the landlord may grant permission to the tenant to modify or change the property to suit his needs. The tenant is responsible for the condition of the property during the period of rent. Rental agreements may be used for the rent of residential or commercial properties. This agreement outlines the conditions of the arrangement so that each party understands their rights and obligations under the arrangement.
A tenancy agreement is a legally binding document. It gives the tenant the right to live in the rental property, and the landlord the right to receive rent. It is also casts certain duties and responsibilities to which the parties mutually agreed. It's therefore important that the tenancy agreements landlords are issuing are up to date and legally compliant.