What does the lease agreement contain?

First a lease agreement is an agreement between the leaseholder and the freeholder or landlord. Before you enter into a lease agreement you should be sure that the freeholder has a right title to the property because there are many mischievous people out there who want to cone people, so just make sure the freeholder you are dealing with is the original owner or else you may end up in a leasehold scandal.

Content on information

-Details of the leaser and those of the freeholder and the valid addresses they use. -Details of the property that is being leased, this mainly contains the location of -the property and the identification for easy reference. -Details on parking space -Details of terrace rights -Notice period required for termination of the lease. -The ground for termination of the lease. -Terms of lease

Content on payments

-The lease rent and the mode that will be used in the payment. -The amount of security paid and the circumstances when it can be refunded. -The amount of rent that can be paid in advance and the mode of adjustment. -When the rent can be increased and at what rate, this is put in a clause called the ‘Rent Escalation Clause’. -Who pays the municipal dues and property tax -Who bears the maintenance charges and if they are to be paid separate from rent.

Content about responsibilities

-Who will bear the routine maintenance and repairs -Who bears the registration expenses in the case of registering the lease deed -Will the things needed in the property be provided by the freeholder -Who has the access to common garden areas? -Declaration by the freeholder that he is the owner or an authorized representative.

It is advisable that you take your time to read through all this content carefully before you reach for the agreement or else you will enter into the agreement blindly which may cause a serious leasehold scandal to you