Personal Guarantee Of Rental Agreement: Fill & Download for Free

What is the difference between rent and lease?When you are considering to rent out a property, you will need to decide if you wish to offer your tenant(s) a rental or a lease agreement. However, it looks that these terms are often used interchangeably, their meanings differ. Before you rent out your property, be sure to take into account the differences between a lease and a rental agreement so you can make the best choice for your situation.How are rent agreement, lease agreement, and leave and license agreement different from each other?Here are the most important differences everyone who is asking himself or herself this question should understand:Rental AgreementsRental agreements are often shorter and allow owners to rent properties that might not be desirable to long-term renters. A rental agreement differs from a lease agreement because it is not a long-term contract and usually occurs on a monthly basis. Such month-to-month lease agreement expires and then renews each month upon agreement of the parties involved. So they often have no long-term requirements. At the end of each thirty-day period, both you and your tenant are free to change the rental agreement (subject to local rental laws).Rental agreements, therefore, have more leeway. However, either the tenant or the landlord can alter the terms of the agreement at the end of the period. Think about changes like raising the rent asking the tenant to vacate the property or modifying the initial terms agreed. However, often both landlord and tenant need to mutually agree and give a period of notice before any modifications can be made. A landlord must give a proper notice to quit, however, prior to requesting the tenant leaves the property.This video shows an explanation of a sample rental agreement, that is also easy to modify for lease:Lease agreementsIn comparison to rental agreements, a lease has a set term, often for long periods of time, usually a period of 12 months, during which the tenant agrees to rent the property. A lease agreement is a contract between a landlord and a tenant that covers the renting of property, usually or more. The lease agreement is very specific in detailing the responsibilities of both parties during the lease and it includes all the necessary terms to provide protection to both parties.During the duration of the lease, both must adhere to the lease agreement. For example, tenants agree to make monthly rent payments and follow the other obligations in the lease. This ensures that the landlord cannot at random just raise the rent fee and the tenant cannot just leave the property whenever he or she wants to, without any consequence.The lease agreement is effective for the specific time mutually agreed and is then considered ended. If the tenants wish to remain in the property, both parties must enter into a new agreement. So, therefore, neither party is able to change any terms until the lease period expires. Unless both parties mutually agree to the change the terms. A lease agreement, on the other hand, is advantageous to a landlord by providing the stability of guaranteed, long-term income. It is advantageous to a tenant because it locks in the rental amount and length of lease and cannot be changed even if property or rent values rise.Leave and Licence agreementsA leave and license agreement is a specific kind of agreement wherein the licensor temporarily allows the licensee to use licensor's immovable property full or a portion of it, for the purpose of carrying business activity or residential use. A rental or lease agreement is creating a transfer of interest from the owner to the tenant. However, with a 'Leave & License,' it ensures that there is no transfer of interest from the Owner/Licensor ( person or company with exclusive legal rights over something other than selling) to the Licensee. It is a License to occupy and use the premises in the mentioned duration on mutually agreed terms.Source: Lease Rental Agreement template

It can be a requirement if you are a first-time renter or a student. It’s especially common if the prospective tenant depends on the parents for their income. If you don’t have sufficient income, that could be the reason.The co-signer is also known as the guarantor. It just means that the person guarantees the contract will be honored, even if the other party cannot. The cosigner will pay the rent due under the rental agreement.After some time of building rental history and having sufficient income, you won’t be asked again.

Most standard rental contracts include:1. Rental property address and details. This is especially important when you have one building with multiple units so there’s no confusion.2. Details on any furnishings, parking space, storage areas, or other extras that come with the rental property. Will the unit be furnished or unfurnished? Will a refrigerator be included? Etc. You can see how disagreements here could lead to problems.3. Names of all tenants. Every adult who lives in the rental unit, including both members of a married or unmarried couple, should be named as tenants and sign the lease or rental agreement. This makes each tenant legally responsible for all terms, including the full amount of the rent and the proper use of the property.4. Limits on occupancy. Your agreement should clearly specify that the rental unit is the residence of only the tenants who have signed the lease and their minor children. This guarantees your right to determine who lives in your property -- ideally, people whom you have screened and approved -- and to limit the number of occupants. The value of this clause is that it gives you grounds to evict a tenant who moves in a friend or relative, or sublets the unit, without your permission.5. Term of the tenancy. Every rental document should state whether it is a rental agreement or a fixed-term lease. Rental agreements usually run from month-to-month and self-renew unless terminated by the landlord or tenant. Leases, on the other hand, typically last a year. Your choice will depend on how long you want the tenant to stay and how much flexibility you want in your arrangement.6. Deposits and fees. Expect to see details on the dollar amount of a security deposit, cleaning deposit, or last month’s rent BEFORE the tenant can move in. Are deposits refundable or nonrefundable?7. Rent. Your lease or rental agreement should specify the amount of rent, when it is due (typically, the first of the month), and how it's to be paid, such as by mail to your office. To avoid confusion and head off disputes with tenants, spell out details such as:acceptable payment methods (such as personal check only)whether late fees will be due if rent is not paid on time, the amount of the fee, and whether there's any grace period, andany charges if a rent check bounces.8. Repairs and maintenance. Your best defense against rent-withholding hassles and other problems (especially over security deposits) is to clearly set out your and the tenant's responsibilities for repair and maintenance in your lease or rental agreement.9. Entry to rental property. To avoid tenant claims of illegal entry or violation of privacy rights, your lease or rental agreement should clarify your legal right of access to the property -- for example, to make repairs -- and state how much advance notice you will provide the tenant before entering.10. Restrictions on tenant illegal activity. To avoid trouble among your tenants, prevent property damage, and limit your exposure to lawsuits from residents and neighbors, you should include an explicit lease or rental agreement clause prohibiting disruptive behavior, such as excessive noise, and illegal activity, such as drug dealing. Is cannibus on the premises allowed or prohibited? In some state it’s legal but for federal purposes it is currently illegal.11. Pets. If you do not allow pets, be sure your lease or rental agreement is clear on the subject. If you do allow pets, you should identify any special restrictions, such as a limit on the size, type, or number of pets or a requirement that the tenant will keep the yard free of all animal waste.12. Utilities. The landlord should state who pays for what utilities. Normally, landlords pay for garbage and sometimes for water, if there is a yard. Tenants usually pay for other services, such as Internet, gas, and electricity.13. Extended absences. Some leases and rental agreements require a tenant to notify the landlord in advance if you will be away from the premises for a certain number of consecutive days (often seven or more). Such clauses may give the landlord the right to enter the rental unit during your absence to main­tain the property as necessary and to inspect for damage and needed repairs. You’ll most often see this type of clause if you live in a cold-weather place where, in case of extremely cold temperatures, landlords want to drain the pipes to guard against breakage.14. Limits on tenant behavior. Most form leases and rental agreements contain a clause forbidding tenants from using the premises or adjacent areas, such as the sidewalk in front of the building, in such a way as to violate any law or ordinance, including laws prohibiting the use, possession, or sale of illegal drugs. These clauses also prohibit tenants from intentionally damaging the property or creating a nuisance by annoying or disturbing other tenants or nearby residents—for example, by continuously making loud noise. Leases and rental agreements may prohibit smoking, in individual units as well as in common areas.15. Restrictions on use of the property. Landlords may throw in all kinds of language limiting tenant use of the rental property and who may stay there. These may be minor (for example, no waterbeds, plants on wood floors, or bikes in the hallway) or quite annoying. These may be in a separate set of rules and regulations or individual clauses. Basically, landlords can set any kind of restriction they want—as long as it’s not discriminatory or retaliatory or otherwise violates your state law.16. No home businesses. Landlords may prohibit tenants from running a business from your home, by including a clause specifying that the premises are “for residential purposes only.” The concern here is generally about increased traffic and liability exposure if one of your customers or business associates is hurt on the premises. Obviously, working at home on your computer is not likely to bother your landlord, and may not even be noticed.
 If you want to run a day care operation in your rented home, your landlord may not be able to flatly prohibit it. Laws in some states, including California and New York, are designed to encourage family-run day care. Landlords in these states may limit the number of children, however, and any business you run must comply with state fire and health regulations regarding minimum size of the facility and fire exits.17. No assignments or sublets without landlord permission. Most careful landlords will not let tenants turn their rental over to another tenant (called “assignment”), let someone live there for a limited time while you’re away (called a “sublet”), or let you rent an extra bedroom to another occupant, with you as the “landlord” (also called a sublet), without their written consent. 
Lease clauses often specifically prohibit tenants from renting rooms on Airbnb or similar short-term rental services.18. Attorney fees and court costs in a lawsuit. Many leases and rental agreements specify who will pay the costs of a lawsuit if you go to court over the meaning or implementation of a part of your rental agreement or lease—for example, a dispute about rent or security deposits. These clauses do not apply to legal disputes that arise independently of the lease or rental agreement—for example, lawsuits over alleged discrimination. A common and evenhanded attorney fees clause will explicitly require the losing side in a landlord-tenant dispute concerning the lease or rental agreement—whether it’s the landlord or the tenant—to pay attorney fees and court costs (filing fees, service of process charges, deposition costs, and so on) of the winning party. Watch out for clauses that make only the losing tenant pay for the owner’s lawyer’s fees. In several states, these unfair arrangements will be interpreted to run both ways, even though the landlord didn’t intend it that way (in other words, if you win, the landlord has to pay your costs).19. Grounds for termination of tenancy. You’ll often see a general clause stating that any violation of the lease or rental agreement by you, or by your guests, is grounds for terminating the tenancy according to the procedures established by state or local laws. Rules for terminating a tenancy differ depending on whether or not you sign a lease or rental agreement, and vary by state (and, in some cases, by city, if the property is under some form of rent control).20. Other Restrictions. Be sure your lease or rental agreement complies with all relevant laws including rent control ordinances, health and safety codes, occupancy rules, and antidiscrimination laws. State laws are especially key, setting security deposit limits, notice requirements for entering rental property, tenants' rights to sublet or bring in additional roommates, rules for changing or ending a tenancy, and specific disclosure requirements such as past flooding in the rental unit.These are just a few of the most common clauses usually found in lease agreements. Work with a local property manager in your state to develop a lease that is appropriate to your property and tenants. They are worth their weight in gold when it comes to finding reliable tenants, screening and leasing. And their fee should be tax-deductible to an active property owner while your personal time spent in these activities is not.