Tenancy Agreements – Their Contents And Uses

Before letting a tenant to occupy your property, it is quite important to sign a proper tenancy agreement, as it sets out the limitations of tenants’ rights as well as their obligations. Apart from limitations and obligations, terms, payments, rent amounts, deposits, payment methods, rights, notices, guarantor clauses, signature and witnesses are included in a tenancy agreement. Let us find out the details of this agreement.

The parties of this agreement are mainly the tenants and the landlords; however, in some agreements, a guarantor, who offers a guarantee to pay the rent, in case tenants fail to do so, is also included in this agreement.

Tenancy agreements are signed in the presence of both, the tenant and the landlord. The presence of a guarantor is also ensured if the landlord is not satisfied with the financial position of the tenant. The guarantor agrees on paying the rent and executing other duties on the behalf of the tenant in case of any untoward situation.

Usually, a long and comprehensive list of obligations is imposed on the tenants. However, most of the time, payment of rent, utility bills, TV license, banning of some alteration, property condition, leaving property in a clean state, and property inspection are some of the issues that are mentioned in the main clauses of the tenancy agreements. Under these obligations, the tenant is bound to pay rent on time. Moreover, if a third party pays rent on the tenants’ behalf, it is accepted as a payment made by the tenant; however, that third party does not get any rights as tenants in any case.

The tenant is also bound to pay utility bills during the tenancy term, and the cost of any reconnection is also included in it. The tenant is also bound to pay the council tax and water cost under this agreement. Similarly, the tenancy agreement restricts tenants from making any alterations or additions in the property without the written consent of the landlord.

It also allows the landlord and their agents to enter and inspect their property after giving a prior notice for some reasonable hour. The tenants are not even allowed to keep any pets or other animals without the written permission of the landlord.

Apart from the above-mentioned obligations, there are many other obligations and limitations which are often imposed on the tenant through a tenancy agreement, and it is expected that the tenant will abide by all the included clauses in this agreement.

Tenancy agreements have plenty of clauses with tough rules and regulations. A tenant has to follow all clauses as set in the contract. Similarly, a landlord also has to follow certain rules as it’s not only the tenant who goes through all the obligations. First, a landlord has to ensure that he is renting out a perfect house without any faults or shortcomings. Additionally, he should also listen to the grievances of the tenants. If the tenant does not agree to a particular clause, the landlord should renegotiate the terms with him. Tenancy agreement thus, provides equal protection for both the parties.