If you wish to rent an apartment, you must sign a lease. Before you do, it’s a good idea to educate yourself about the different types of apartment leases. This is an essential piece of information to know since your landlord or the management company will require your signature on these documents. There are some significant distinctions between and, and knowing them will help you ensure that you grasp what you’re getting into—or will point you in the right direction if you’re looking for specific terms.
3 Types of Apartment Leases
This is the most common type of residential lease since it guarantees your tenancy and associated monthly rental expense for a specified period of time. For instance, a few to six months, a year, or more.
Suppose you wish to remain in the same place for an extended period. In that case, a fixed-term lease offers significant protection and the assurance that your lease will unexpectedly increase for the duration.
The best part of fixed-term leases is that you can secure your terms in a specific time period. This means that you won’t need to worry about any changes in the details over time. This keeps things secured and straightforward.
This type is also referred to as a periodic lease. This allows for both the tenant and the landlord to start and terminate the agreement at any time. It also entails that the transaction is done without incurring any penalties, provided that sufficient notice is given.
You want to consult your lease to determine what constitutes fair notice, such as how far in advance you must notify your landlord whenever you are planning to vacate the apartment. That said, your landlord is also required to notify you of any lease changes like an increase in rental costs.
This is a great lease for those who need flexibility on the lease terms, with regards to how long you may possibly stay in the apartment. In fact, this is the best option if you’re looking for temporary accommodation.
This is a rare type of lease that exists solely to sublet during your tenancy.
A sublease agreement specifies that the main leaseholder agrees to have a tenant occupy your apartment who wasn’t on the existing contract and will be liable to pay rent and to operate the unit.
However, the option to sublet is conditional on the conditions of your initial lease agreement. With that, it must be clarified with your landlord as well. It also involves some risk on your part, as you are also responsible for ensuring the rent ought to be paid on time. In addition, the apartment unit is kept in good condition.