As a landlord, your lease agreement is your golden ticket to smooth sailing. A well-written lease agreement should disclose everything your tenants need to know about renting your property, from pet policies to rent payments and contract termination rules.
This document is the ultimate handbook that protects you and your property. While writing a lease does takes time, it is a critical element of any successful landlord-tenant relationship.
Key Takeaways
- Landlords can create a state-specific, legally binding lease on Apartments.com in about 10–15 minutes that covers everything from rent and security deposits to pets, parking, utilities, and disclosures.
- A well-written lease helps landlords avoid disputes and legal issues by clearly defining rent terms, responsibilities, policies, prohibited actions, and consequences for violations.
- Lease agreements must include essential items, such as rent details, utilities, deposits, property rules, disclosures, and termination policies, to ensure compliance with state and local laws and protect both landlords and tenants.
What Is a Lease Agreement?
A lease agreement is the most important legal document that binds you and your tenants together. It describes the terms and conditions that a tenant (lessee) must abide by if they want to rent your property for a fixed period. But this written agreement isn’t just for your occupants; as the landlord (lessor), you are also obligated to follow the contract rules.
How to Create a Lease Agreement on Apartments.com
Apartments.com provides an easy way to create lease agreements. With the Rental Tools platform, you can easily create a legally-binding, state-specific lease that fits your property and your standards. Here's how to make a lease on Apartments.com in a few simple steps.
Start a new lease
Log into your account and then navigate to the “Residents & Leases” page from the left navigation menu. Select the specific resident you want to create a lease for and select the “Draft a Lease” button at the bottom of the page. Creating a lease takes about 10-15 minutes, but you can save your progress and come back later.
Select a lease duration
First, enter the lease term by selecting a start and end date. In this section, you also choose who the lessor (landlord) is, whether that’s you as the property owner or your business entity.
Review residents and cosigners/guarantors
Next, a list of all residents or guarantors appears for you to review. Verify that all required individuals are listed on the page and add anyone who is missing.
Enter property information
Though your property information is already known from when you listed the property, you need to answer a few additional questions. Specifically, the type of property (single-family or multifamily) and who is responsible for managing the property.
Next, provide an agent’s address and contact information who will receive legal notices. This can be you, another individual, or a business. Many states require landlords to list a designated agent who can accept such notices from tenants, such as notices to terminate or other legal correspondence.
Disclose the monthly rent amount and due date
The monthly rent is one of the key elements of the lease. Input the monthly rent amount, the monthly due day, and the total rent amount that includes all mandatory fees.
Here are a few more questions you’ll need to answer:
- Is this property subject to rent control?
- Will you collect pro-rated rent?
- Will you charge a late fee?
- Will you allow a grace period for the payment of rent?
- Will you charge a fee if a tenant has insufficient funds?
Include the security deposit
Next, indicate if you will collect a security deposit and, if so, the amount.
Answer additional questions about pets and parking
To cover any additional addendums that a landlord might need, information is requested about pets and parking policies at your property. This is your opportunity to add these policies and any relevant details like pet restrictions, pet fees, or parking fees.
Detail any additional fees
Fees depend on the property and landlord, so if there are any you want to add, like monthly hold-over or laundry fees, enter them. There’s also a custom fee area to cover both one-time and recurring fees.
Define the applicable payment methods
Landlords can accept payment in several ways, and these methods must be listed in the lease. So, in this step, select the payment methods that you will accept from tenants:
- Online Rent Payments via Apartments.com
- Check
- Electronic funds transfer
- Other
Outline property utilities and services
State whether utilities are included in the rent or not. Then you can add in the fee you will charge if a resident doesn’t transfer utilities on time.
Add any additional provisions
Select whether you’ll provide any furnishings and/or appliances.
Choose property disclosures
Any required disclosures, like lead-based paint or flood zone disclosures, must be added to the lease. Choose the ones you need so they will be incorporated into the lease.
Fill in additional questions
To ensure the lease covers all aspects of your property and policies, there are some additional questions you need to answer:
- Will you require the residents to maintain renters insurance?
- Are residents permitted to have a satellite dish?
- Is smoking allowed on the property?
- Will you supply the resident with a list of rules and regulations?
Add specific stipulations
This optional section allows you to add any agreements that are not already covered in the lease or within state and/or local laws. Consult a lawyer about the additional stipulations to make sure there are no conflicts or issues.
Send the lease to the tenants to sign
In no time at all, you’ve created a comprehensive lease that is specific to your property. Now, all you have to do is review it and send it to your tenants. It will be emailed directly to them so they can log in to their Apartments.com account to view and sign it.
On the “Residents & Leases” page, you will also be able to see the status of the lease, cancel or continue editing the lease, or send a reminder to your resident to sign the lease.
The benefits of creating a lease on Apartments.com
Creating a lease doesn’t have to take hours of your time. With Apartments.com, you can finish in less than half-an-hour and have a legally-binding, state-specific lease that is tailored to your property and policies. Discover how Apartments.com is a smarter and simpler way to manage leases:
- Effortless lease creation: Forget generic templates as Apartments.com generates state-specific, fully customizable lease agreements that perfectly align with your property and standards.
- Legally binding and secure: Breathe easy knowing your leases comply with all local and state laws and regulations. Apartments.com has partnered with legal experts to ensure leases are legally binding.
- Convenient online signing: Eliminate the hassle of physically signing documents since tenants can conveniently sign the lease electronically.
- Organized and accessible: Avoid misplaced paperwork as Apartments.com keeps all your leases neatly organized and readily accessible for future reference. Simply log in to your account to access them whenever needed.
Why a Lease Agreement Is Important for Landlords
You need to create a lease agreement because it lays out the responsibilities and obligations for you and your tenants. Here are some other reasons why you need this key document.
Helps you manage critical issues
Landlords have a diverse range of issues they must manage, from pet-related property damages to late rent payments. Leases help you address and manage critical issues more effectively since the rules and consequences are clearly defined. Acting quickly on problems creates a more stable and cooperative relationship between you and your tenants.
Ensures that you adhere to state and local laws
While landlords have a great deal of autonomy over managing their properties, they still must operate within local and state laws. This means avoiding actions like:
- Performing self-help evictions
- Increasing rent during an ongoing lease agreement
- Violating fair housing laws
A properly written lease agreement helps you stay complaint and avoid legal trouble.
Helps you avoid disputes
Having a lease in place gives both you and your renter clear expectations from day one. It documents important details like late fees, maintenance responsibilities, and how damage is handled, so there’s less room for confusion later.
With a lease agreement, everything is spelled out in writing, which helps prevent misunderstandings and keeps conversations productive if questions come up. It’s a simple step that creates transparency, protects everyone involved, and helps your rental relationship run smoothly.
Guarantees your ability to collect and use a security deposit
The security deposit is a safety net that allows you to cover unpaid rent or costly tenant-related damage. However, this is closely tied to the lease as the document outlines the parameters of the security deposit and key details. Having the security deposit written into the lease ensures there are no misunderstandings.
Types of Lease Agreements
Lease agreements are as diverse as the tenants who sign them. Depending on your specific needs, here are the types of lease agreements you can create:
Fixed-term lease
A fixed-term lease is a contract that lasts for a predefined period, typically six to 12 months. At the end of the lease term, you can either renew the lease or part ways with the tenant.
Month-to-month lease
A month-to-month lease is short-term agreement that provides flexibility, since it only lasts for a short amount of time.
What to Include in a Lease Agreement
The exact parameters of a lease agreement can vary widely depending on the needs and expectations of you and your tenants. You should customize the specific details of each contract before both parties sign it, so it’s tailored to the tenancy.
These are some of the main elements to include in a lease agreement:
- Party information: List the full name and role of each landlord and tenant, plus any cosigners or agents. Include physical address, mailing address (if different), phone number, and email. Identify all occupants, even if they are not signers.
- Property details: Specify the property type and address, note existing damage or defects, list included appliances, fixtures, and furniture, and identify any applicable HOA or condominium association.
- Lease term: State the start and end dates, renewal terms, and whether the lease converts to month-to-month after expiration.
- Rent and payments: Disclose the monthly rent amount, due date, first payment date, grace period, accepted payment methods, and security deposit amount and details.
- Late fees and penalties: Detail late fees, when they apply, and any additional charges such as insufficient funds fees.
- Utilities and services: Clarify which utilities and services are included or excluded and how they are billed.
- Additional fees: List any extra costs such as HOA fees, landscaping, security, or insurance.
- Responsibilities: Define tenant obligations (repairs reporting, cleanliness, rule compliance, damage, utilities setup, non-commercial use) and landlord obligations (repairs, privacy, maintenance, communication, and required services).
- Renters insurance: State whether renters insurance is required.
- Property rules: Outline rules covering safety, associations, maintenance, keys, modifications, smoking, guests, parking, and courtesy expectations.
- Disclosures: Include all legally required disclosures, such as lead-based paint or flood risk.
- Pets: Specify whether pets are allowed, any restrictions, and applicable fees or deposits. Note that service and assistance animals are not considered pets.
- Occupancy and subletting: Define occupancy limits, guest stay limits, and subletting permissions.
- Termination and eviction: Explain grounds for eviction, early termination options, associated fees, and penalties, in compliance with local laws.
- Governing law: Identify the state and local laws governing the lease and clarify that applicable law supersedes the agreement.
- Signatures: Provide signature lines and dates for all required parties to make the lease legally binding.
This article is for informational purposes only and does not constitute legal advice. Lease laws and requirements vary by state and local jurisdiction and may change over time. While Apartments.com provides tools designed to support legally compliant lease creation, landlords are responsible for verifying that their lease agreements meet all applicable federal, state, and local laws. Consider consulting a qualified real estate attorney or legal professional before finalizing or enforcing a lease agreement.
This article was originally published on May 16, 2022 by Oleander Johnson.
FAQs
What is an addendum?
An addendum is a provision you include in a lease agreement that allows you to change the contract before it expires.
Can I make my own lease agreement?
Yes, landlords can write their own lease agreements, but starting from scratch often takes significant time and increases the risk of mistakes. Because lease agreements are legally sensitive, many landlords rely on pre-made templates or automated lease tools to streamline the process and avoid errors.
A well-written lease clearly outlines rent terms, property details, rules, and penalties, helping set expectations and maintain accountability. It also helps ensure compliance with state and local laws, protecting you from disputes and potential legal issues down the road.
What is a lease termination letter?
A lease termination letter is a formal written notice, usually from a landlord to a tenant, that the existing lease agreement will end on a specific date. It’s used to clearly communicate the termination date, reason for ending the lease, and any move-out instructions to avoid misunderstandings and keep proper records. Such a letter typically includes the lease end date, details about the move-out process, and requests like the tenant’s forwarding address, helping ensure both parties follow the lease terms and applicable laws.
Can landlords terminate a lease early?
Yes, landlords may be able to terminate a lease early, but only under certain legal conditions. A landlord can end a lease early with cause if a tenant violates the lease (such as not paying rent, having unauthorized pets or occupants, causing costly damage, engaging in illegal activity, or otherwise breaching terms). In these cases, the landlord must follow state and local laws for notices (like “cure or quit”) and eviction procedures before the lease can be legally terminated.
Landlords may also terminate a lease without cause only if the lease itself includes a specific early-termination clause or if the law permits it. For example, for reasons like selling the property, moving into it themselves, or major renovations. If no termination clause exists, the landlord generally cannot end a fixed-term lease early and must wait until the lease expires and give proper notice per the agreement and local law.
