Letter of Intent to Rent
A letter of intent to rent can be drafted by the landlord or a tenant to decide upon the following issues:
- Premises to be rented: the total area of the premises and its location
- Term of lease and termination: The letter should clearly define the duration of Lease. It should also lay down the provision in case either party decided to terminate the contract before the term of lease ends.
- The total rent and advance should be mentioned
- The payments that are not included in rent must be mentioned in detail, to avoid any confusion at a later stage.
- It is very important to mention what the tenant and landlord is expected to maintain. For example: specify if the plumbing and furniture are supposed to be taken care of by the tenant or landlord.
- Specify the terms and conditions for the violations of the contract.
- Also state the terms of extension and increase of rent.
If you have any doubts, do not sign the letter. Get in touch with your landlord or tenant or consult your lawyer in case you feel that some term or condition is not very clear.
852 Fourth Avenue,
New York 90023
74 Fifth Avenue,
New York 90026
Subject: Letter of intent to rent
Dear Ms. Phillip,
With reference to our meeting held at Café Sheffield's, I would like to propose a letter of intent to rent out the apartment located on Fourth Avenue. These terms do not have any legal binding and the final contract shall be formulated on these terms.
Terms and Conditions:
- Property Type: Apartment
- 852 Fourth Avenue,
New York 90023
- Lease Duration: The property shall be rented from the period of 01/03/11 to 01/03/14. After this date, the tenant and landlord shall retain the right to renew the contract.
- The tenant, Ms Brenda Phillip, shall pay $__, at the end of every month as rent to the landlord, Mr. Fred Hanks. If this is not paid within 30 days, the landlord can serve legal notice, or ask the tenant to vacate the premises.
- Advance: The tenant shall pay an advance of six months' rent to the landlord, after signing the final contract
- The tenant shall have complete access to the property during the full tenure of the lease. The tenant shall also have an access to the parking area allotted to this apartment in the basement.
- The rent shall not include the maintenance cost that the society charges to all the residents.
- If either party wants to terminate the contract, a notice period of 2 months needs to given in written, along with the reason of termination.
- The tenant shall also be responsible for the maintenance of the following during his tenure of occupancy: plumbing, air conditioner, kitchen cleaning, electronic appliances and locks, janitorial, cleaning of the property: interior & exterior.
- If the tenant leaves without giving a notice period, then 20% of the total deposit shall be deducted.
- The landlord shall be responsible for the payments and maintenance of the following: property tax, ceiling and structural maintenance and property insurance.
- The fees of the legal procedure shall be shared by both the parties.
- After this letter of intent is signed by both the parties, a formal agreement shall be signed within 20 days.
If you agree with the above terms and conditions, please sign and return this document as soon as possible, so that a formal contract can be drafted. If you have any objections or suggestions, please let me know at the earliest.