Gone are the days when people used to spend their whole lives, die, and get buried in the same town they were born in. this is the advanced era, where everyone is looking for opportunities for improving the quality of their life. The biggest step in the process is moving to a bigger and renowned city, and the next step is finding a place to live there. Settling into a new area takes a little time, and most people prefer to rent an apartment during that time. The most common mistake a lot of people make at this point is not signing a suitable rental agreement, which becomes a bone stuck in their throat when they want to move out or are not prepared for it. Therefore, learning about the types of rental agreements is crucial to making your life a little easy and comfortable.
Keep scrolling down this article to get your hands on the types of rental agreements you should know, and make sure to opt for the right one.
Top 6 Types of Rental Agreements You Must Know
Renting apartments is supposed to offer more flexibility, ease, comfort, and financial benefit to the general public. However, to ensure all these perks opting for the right rental agreement is more than necessary. Ignoring them can make you face the bitter realities of life, so it is better to stay prepared and limit your hassles.
Here are some of the major types of rental agreements you must know about before finally opting for one.
1. Fixed Term Lease
The very first type of rental agreement that you must be aware of is the fixed-term lease. As the name denotes, the fixed-term lease is for a fixed period of time, which can be in months and years too. During the fixed term, the rent usually remains the same; however, if the landlord has included the clause of increase in time after a specific time, then it will follow the agreed conditions.
2. Month To Month Lease
A month-to-month lease is one of the most common and popular types of rental agreements, which offer immense flexibility to renters and landlords. This type of lease ends at the end of the month. The renters can renew the lease or move out if they desire. This type of lease is perfect for international travelers, who often explore apartments for rent in Jumeirah village circle and sign a flexible lease that helps them make the most of their experience.
3. Automatic Renewal
One of the most common types of rental agreement is an automatic renewal. As the name denotes, in this type of rental agreement, the duration of the lease is not specified, and it keeps renewing automatically at the end of the month and year. When the renter or landlord wants to end the lease, they will have to inform the other party a little early so they can make future arrangements comfortably.
4. Sublease
A sublease is the not-so-common type of rental agreement, which is actually getting a little popular now. In a sublease, the renter offers the apartment for rent to a third party while informing and getting the permission of the landlords. The renter is the main party to handle all the procedures, contract, and collect the rent from the third party, and the landlord usually does not interfere in the arrangement but holds the renter accountable if any issue takes place.
5. Short Term Lease
Short-term lease is another common type of rental agreement which is preferred by tourists and people looking for jobs. The short-term lease allows the renters to get a place for a short time which can be even less than a month. Moving out in a short time can daunt the profile of rents as it highlights their indecency. However, having a short lease offers you the ease of moving out in a short time without being concerned about your position or profile.
6. Long Term Lease
The last type of rental agreement that you need to know about is the long-term lease. This is the type of lease that is signed for a long period of time, which can be one year, five years, ten years, or even more. Clauses about the increase in rent and damages, maintenance, etc., are added in the contract to avoid any blame game in the end. If you are also looking for a long-term lease, make sure to explore apartments for rent in Jumeirah village circle and spend your life in one of the best residential areas of UAE.
Not sure which type of rental agreement is suitable for you?
It can happen if you are a first-time renter. However, it is not something to lose your appetite over as you can easily sort it out with the help of professionals. Get in touch with professional property dealers now, discuss your priorities and let them recommend a suitable agreement, and help you find the best property on the listings.
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