Time Waits For No One Tip of the Week #2

Effectively Reading Your Lease.

 

Before signing anything it is important to read your lease.  The basic information such as Name, Company, Rent Amount/Rate, Commencement Date/Lease Begin and Lease Termination /End Dates is key pieces of information.

If this information is wrong STOP and bring it to the attention of the Agent/Owner so that the proper changes can be made.  Once changes have been made re-read the section to make sure it is correct.

 

•  Never believe what someone tells you about the lease you are about to sign.  Ask them to show you where the information is that you requested.  “It’s in there don’t worry about it”. – Will not stand up in a Court of Law.

•    ALWAYS! ALWAYS! ALWAYS! Get a copy of anything you sign…Especially your Lease Agreement.

Leases and Lease Amendments can be tricky some information in these agreements only serve to negate other information. Be careful to understand the terms before moving forward. If you are unclear ask to have someone explain the area more clearly or have someone you know and trust with you who understands the lease terms. 

•  Rent Increases are a necessary evil but you should know what a legal increase is for your area and property type.  Commercial property is very different than a multi-family residence.  Percentage of increases will vary greatly and so will the terms.  Usually this information is posted on the local housing association or other state/local sites that will tell you the maximum increases. 

The following are terms you should get familiar with.  Understanding your responsibility in any situation will help you negotiate more effectively and help keep you from making costly mistakes. 

1. House Rules – Apartments, Rentals, Single Family Homes
2.   CC&R’s  - Home Owners Associations, Merchant Associations
3.   Tenant Responsibility / Landlord (Owner) Responsibility  - aka Lessee and Lessor
4.   Types of Leases – Gross, Modified Gross, NNN (Triple- Net), Land Lease

Thank you, I am not an attorney just someone with 15 years in the Real Estate Industry with education and experience in this area.  I am sharing this information with you so you can learn and benefit from the costly mistakes that have already been made.

Realtor-Yolanda@comf5.com

To see this video check out my Live Channel page and watch the PowerPoint presentation of TWFNO Tip #2.