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Special thanks to the Self Determintation Housing Project (SDHP) and Pennsylvania Housing Finance Agency (PHFA) for the creation of these documents

 
Renter's ToolkitBefore You Sign a Lease     
Before You Sign a Lease Minimize
 
  1. Leases
  2. Identify the Property
  3. Length of Lease
  4. Security Deposits
  5. Payment of Rent
  6. Utilities and Appliances
  7. Use and Occupancy
  8. Sublets and Assignments
  9. Acceleration of Rents
  10. Waiver of Notices
  11. Confession of Judgement
  12. Right of Entry
  13. Renewal

Leases Are Contracts

A lease spells out the relationship and requirements for a tenant and landlord. Because the landlord generally chooses what the lease will say, it usually favors the landlord. If the tenant disagrees with some part of the lease, it should be discussed and may be modified or deleted by mutual agreement. Any change, addition, or deletion to a contract should be initialed by both the landlord and the tenant(s).  Generally, nothing said or agreed upon orally will change any part of the written lease unless it is in writing and signed by both parties.  While under certain circumstances an oral lease can be enforceable, in the event of dispute issues of evidence and proof with an oral lease are extremely problematic, and a written agreement protects both parties.  If you do not agree to the entire written lease document, do not sign it. Your signature will bind you to fulfill the terms of the agreement exactly as it is written and/or pay significant financial penalties. There are no time-outs, second chances, or fresh starts. Landlords will use the courts or threats of legal action to enforce leases, and tenants should be equally prepared to exercise their rights under contracts and through the courts if necessary. Everyone who signs a lease should receive a copy, with signatures, to serve as a record of the lease and each party's responsibilities under the terms of the lease.
Leases must be signed by both parties. They do not have to be witnessed, although landlords may choose to have a staff member formally witness the signature. In Pennsylvania, you must be older than 18 to legally sign a contract. If you are younger than 18, the landlord may require a cosigner, such as your parent, who will accept legal responsibility for the obligations of the lease for/with you. In the University area, many landlords request or require a parent to cosign even if you are older than 18. This is an acceptable business practice, although it may annoy students. Because students generally have limited personal assets, landlords will be able to take legal action against cosigners in case students breach/default on a lease. Legal action for breaching a lease can be taken across state lines.
 
A lease should identify the property to be rented. Identification should include the street address and apartment number. Students should inspect the specific apartment they are renting before they sign a lease. If, when you are ready to move in, the apartment you leased is not ready for occupancy, you may agree to take a different unit. However, you are not obligated to accept any apartment other than the one identified in the lease. When you move in, if the apartment is damaged or defective, take pictures or video of the damages and deficiencies, fill out a thorough inspection report for the landlord with a list of repairs and cleaning that need to be done, and remind the landlord regularly of the work remaining to be completed until the apartment is fully ready for occupancy. Although most landlords take pride in the appearance and standards of their apartments, some make a habit of procrastinating and then cleaning or fixing just enough, knowing that many students eventually give up on a leaking toilet, dirty refrigerator, or torn carpet.
 
 
Security deposits are customary in the University community. They usually are equal to one or two months of rent. They cannot be greater than two months of rent during the first year of the lease. Most leases specify that a deposit cannot be used as the last month of rent. Some leases say that if a landlord uses some or all of the security deposit during the term of the lease, the tenant must pay to bring the deposit up to the lease-specified amount. A landlord must place the security deposit in an escrow account in a bank for the term of the lease, or the deposit may be bonded, which is a guarantee of payment. The tenant does not necessarily receive any interest payments from the escrow deposit for the first or second year. On longer leases, interest must be paid after the second year.
 
Payment of rent, also called consideration, is specified in the lease. Payment information includes the monthly rent amount, the total amount of the rent to be paid over the term of the lease (usually 12 times the monthly rent), when (date due) and where (office address) the rent is to be paid, how the rent is to be paid, (mail, in person, check, money order, etc.), and a late date after which payment is not on time and violates the lease terms. Some landlords allow a discount for timely payment (e.g., rent is $500 a month but if paid before the fifth of the month a discount of $50 will be allowed; therefore, the rent due is $450.) Other landlords assess a penalty if rent is late (e.g., rent is $500 a month but if paid after the fifth of the month a penalty of $50 will be charged; therefore, the rent due will be $550). Both ways are acceptable; however, the total amount of the contract, which usually is stated in the lease, will be changed depending on whether it is discounted or penalized. If discounted, the total contract amount will not reflect the discount but will be the full or larger amount. In event of a lawsuit by a landlord, the landlord would likely request payment in full for the entire lease term, which would be the larger amount.
 
Utilities and appliances also are described in leases, and the details should be read carefully. Who pays which utilities should be indicated specifically.   If a tenant is responsible for certain utilities, he or she must contract directly with utility companies.   Utilities provided by the landlord should be listed.   Utilities include electricity, water, and sewage and may include gas and garbage removal. Be cautious about agreeing to pay a landlord for utility services based on the landlord's contract with utility companies.  Although not illegal, it is a situation that could tempt an unscrupulous landlord to inflate charges, double-bill tenants, or charge tenants for services that tenants did not use. Utility companies provide estimates of service charges for tenants if requested and perform usage audits for customers who wish to verify charges. Usually a refrigerator and stove are included if a rental unit has a kitchen, and that should be referenced in the lease. Other appliances usually are not provided.   A dishwasher, garbage disposal, or window air conditioner are listed if included.
 
 
 
 
 
 
 
Renewal is the term for extending the current lease agreement for another period of time. Usually, a one-year lease renews for another year and a six-months lease for another six months, although some leases renew on a month-to-month basis after the initial lease term. In the University area, many landlords require tenants to renew their leases as much as five months or 150 days before the end of their leases. This permits them to advertise vacancies for the next academic year prior to the end of the spring term. This is a good move for landlords but can be awkward for students who aren't sure about staying in their apartments another year or even returning to school the next year. A very early renewal deadline also means that the spring term can be a series of landlord visits with prospective renters touring your abode. 
 
  
 
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