Elements of a rental agreement
1. Property Description
The rental agreement should describe the type of property. Is it a residential property? Is it a commercial property? All these details should be there.
2. Amount of rent
The amount of rent the tenant is expected to pay should also be included. The landlord should also include the deposit the tenant should pay in order to secure their property.
3. Names of parties
The names of the landlord and tenant or the real estate agent finalizing the leasing process should be included in the agreement.
4. Rental/lease term
The amount of time or the period in which the tenant is to be in the property should be clearly defined in the agreement. The day the tenant acquires the property should also be recorded.
5. Maintenance requirements
The way both parties expect each other to maintain the property should be clearly outlined. Tenants should maintain the property to its standards while Landlords should be sure to attend to any complaints and repairs.
6. Payment terms
The terms to which the rent is supposed to be paid and the exact date should be included in the agreement.
7. Termination terms
The agreement should contain terms in which the rental or lease terms can be ended. It should also contain measures that the parties can follow to resolve their disagreements.
Termination of tenancy could be a result of many circumstances, e.g. an eviction notice by the landlord, expiration of the tenancy, tenants ending their stay due to circumstances such as security issues, etc. The law defines what processes should be followed in such cases.
Tenants who want to end their stay should give the landlord a prior notice. For example, one month's notice before they plan to leave. Landlords who also wish to end a tenancy must provide notice. This notice should also include the reason for termination. Once the tenant receives the notice, they should start preparing to vacate immediately or work within the period provided.
Issues relevant to both tenants and landlords.
- Landlords may perform background research on their tenants before leasing or renting their property to them. These include checking their criminal history record, income, credit history, eviction history, etc. This is to avoid having conflicts that could have been avoided. This is called screening.
- Landlords also have to collect rent as agreed with the tenants. It could be monthly or annually.
- Landlords also have to agree with the tenants on the repairs and maintenance. They are responsible for the damages before and during the tenancy, except when the tenant causes it.
- Landlords are also in charge of the eviction of a tenant. This however cannot be without a reason. The law in Kenya is against unfair eviction and gives landlords guidelines on when and how that should happen.
Tenants also have a role to play to contribute to an efficient tenancy.
- They are expected to follow any house rules and policies that the landlord sets. Such includes keeping the place clean all the time.
- They also have a duty to keep and leave the property as they found it. This will prevent incurring extra costs for both the landlord and them.
Landlords and tenants should understand their obligations to each other before entering into the contract. It is also very important for them to keep clear communication. It keeps both the landlords and tenants updated. Landlords could communicate an increase in rent or any other policies they might have updated. Tenants in turn can communicate any repairs and damages.
