The lease - you're in a contract

You want the apartment and you are going to sign the lease - but are you clear on what that means? It's a legal contract and you're legally obligated to fulfill the terms it contains.

The lease is there to protect both the landlord and the tenant. This legal contract spells out what each party's obligations are. Though leases are not legally necessary to rent an apartment, and the landlord and tenant can just agree upon terms, shake hands and go about their lives, this doesn't give either party any recourse should issues arise. If there's nothing in writing, it's just a matter of one person's word and memory of events against the other.

You may be thinking that renting a place is straight forward, and that the lease just complicates things with legalities, but you'd be wrong. It's best to have a contract that spells out all obligations and then nothing is left to memory or chance. This is, after all, protecting your right to your home, and without that confidence that your expectations will be met, you may find your rental experience subpar.

The lease must contain some basics:

The landlord, the tenant and the address: These are the basics and they identify the parties involved. All people living in an apartment should be on the leas

The duration: Is it week-to-week, month-to-month or something other? Is there a minimum residency, like six months or one year as a minimum? The rules around tenancy are determined by this information, so clarify it.

The maintenance obligations: Who shovels the snow, who cuts the grass, who takes care of repairs? If you rent in an apartment building, this may be all under the property management, but if you're renting a whole home, you may have to look after more of the property.

Inclusions: The lease should state how much the rent is, and what that includes. It varies from property to property – you may have utilities included, or you may have to pay your own, such as hydro, gas, water, etc. Is laundry included?

Exclusions: Are there areas of the property other than your unit for your use? In a duplex, for example, the rights to garage access or backyard usage may lie with one tenant or both units. If they're not included, you have no rights to use them. Don't end up disappointed.

Expectations: The landlord may include clauses about what is and isn't permitted. These expectations can include items like having tenant's insurance, no smoking, no pets, no painting, etc.

Read your lease over carefully before signing it, and make sure you get a copy of what you've signed. That's your right. If it's not in the lease, it doesn't count. If you thought the apartment included utilities but the lease doesn't specify utilities – or which utilities – you could be adding an expense you weren't counting on paying. Before you sign, discuss any concerns or requests with the landlord. Often, if there is an issue, there may be some resolution you can come to – leases can be changed, but only before they're signed. It becomes trickier down the road if you change your mind. Remember, this really is a legal document and you're obligated to follow the terms you agreed upon with the landlord.

And that's why you sign a lease.