Can You Be Held to a Verbal Lease Agreement?

Many people choose to rent their home instead of owning it, and rental property can be a good source of income for landlords. Each state has a set of laws governing the landlord-tenant relationship. These laws generally cover both oral or written lease agreements and both parties' responsibility for following them.

  1. Lease Agreements

    • A lease should indicate the cost of security deposit, pet deposit and monthly rent. It should specify the length of time the tenant is to remain in the property and any charges to the tenant if he breaks the lease by moving out early. It should also list any other charges such as late charges for rent payments and fees for violating the lease by having a pet. The lease agreement will also cover any rules the landlord has for the tenant, who is responsible for lawn care and cleaning and if the landlord covers the cost of any utilities.

    Landlord Obligations

    • Landlords are obligated to follow the terms of the lease. The landlord must keep the property in a habitable condition and make necessary repairs to the structure of the home, the plumbing system, electrical system or central air system. The landlord must also meet any special conditions listed in the lease, such as providing weekly lawn care. In some states, such as Illinois, a tenant can sue the landlord in small claims court if he fails to follow the lease. Other states, such as Texas, allow the tenant to deduct the cost of repairing a problem themselves if the landlord failed to make the repair.

    Tenant Obligations

    • Tenants are also obligated to follow the lease agreement. The tenant must pay the full amount of rent by the due date each month. Tenants must keep the rental property clean and cannot cause damages beyond normal wear and tear. Some leases also specify that the tenant maintain the outside of the property, including mowing the lawn. Tenants typically cannot make changes to the property without prior consent from the landlord. The landlord can evict the tenant if she fails to follow the lease agreement. However, the landlord must follow legal eviction procedures in his state.

    Oral Vs. Written Leases

    • An oral lease agreement is a spoken agreement between the landlord and the tenant. A written lease agreement is a written contract signed by both the tenant and the landlord. Most states accept an oral lease as a binding contract, according to FindLaw. However, oral lease agreements are difficult to prove in court as it becomes a matter of the landlord's word against the tenant's word. Prospective tenants should ask with a lawyer or legal aid in their area whether the landlord-tenant laws in her state recognize oral leases and if they will hold in court should anything go wrong.

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