Rent: Everything a tenant and landlord need to know
Rent is a remuneration that the tenant undertakes to pay to the landlord for the temporary use of the property, whether it is real estate or another object provided for rent. The amount of the rent, as well as the procedure and frequency of its payment are prescribed in the lease agreement.
The amount of the fee is determined depending on factors such as the condition of the facility, its location and the market value of similar offers.
The tenant is responsible for the timely payment of rent payments in full according to the agreements. Most often, rental payments do not include utilities, which are paid separately.
Violation of deadlines or incomplete payment of lease payments may lead to termination of the contract or the application of penalties.
Types of rent:
- Fixed — the amount of rent is set in the contract and remains unchanged throughout the entire lease term.
- Variable — rents can be adjusted based on external factors, such as changes in the market value of real estate or economic conditions.
Rent is usually paid regularly — monthly, quarterly or annually, depending on the terms of the contract. The contract may also provide for payment in the form of services or other valuables.
Rent indexing is often provided to take into account changes in inflation or other economic factors.
Failure to meet payment obligations on time or refusal to pay in full may result in termination of the lease agreement or the application of fines.