A rental agreement form outlines information about the lease, such as payment and residency terms and conditions, where else an application is used to evaluate a tenant’s suitability and eligibility for a lease by having them answer a few questions and fill in their information.
A rental agreement can be referred to as a contract between a person who wishes to lease property (a landlord/lessor) and someone willing to pay rent for its usage (a tenant/lessee), stating the terms and conditions of the lease.
A rental agreement form is a legally binding agreement as long as both parties have signed and a sign of acceptance of the laid-out terms.
Rental Agreement Forms By States
Select your state to download our free forms :
Rental Agreement Forms By Type
Here are customizable free forms to be used as per need :
The Process of Lease (How it Works)
A rental agreement will usually take effect after the tenant has made payments and occupied the space. It is to remain effective until the agreed end of the lease or should either party choose to terminate the lease. Therefore, a rental agreement is part and parcel of a lease. Now how do you go about a lease? There are a few steps a landlord and tenant can follow to actualize a lease. They include;
Space visit by tenant
This is the first step of the process. It is unusual for tenants to agree to rent a space they have not yet seen. Both parties can agree on when to visit the property and determine if it is suitable for his or her needs and in an acceptable condition. The visit can be coordinated by a real estate agent, property manager, or landlord. The tenant then makes a verbal offer in terms of the monthly rental payment. In other cases, the rent is usually predetermined and declared in the advert.
Rental application
If the landlord and the tenant agree on the amount, the landlord can then hand the tenant a rental application to fill. At this point, the tenant is often required to pay a small fee to cover the costs of viewing the property and running a background check.
Tenant background check
Background checks are conducted by the landlord to determine some aspects of the tenant, such as credit score, criminal history, and other official public federal, and State records. As a landlord, you can use the following resources to carry out a background check; the cost for a limited background check is usually $18.95, and for a more detailed background check, it is usually $35 per screening.
One can choose to eliminate certain applications at this point, or where only minor questions remain, opt to call their references or interview them.
Verification of references
Often during the application, the tenant is requested to provide references that can be contacted to verify that the information provided is accurate. References could be your employer, former landlord(s), or someone who is not family. References are contacted to verify the information or provide additional information that would convince the landlord that the tenant is suitable for the lease.
Writing the lease
If the tenant satisfies the landlord’s requirements, the rental agreement can be drafted. Both parties meet and discuss the specific terms and conditions in detail. The items to be agreed on include;
- The monthly amount of rent to be paid
- Utilities such as water, electricity, sewage, heating, etc., and who shall cover these costs.
- The move-in date. Often this will be at the tenant’s convenience.
- Security deposit. This is the amount paid to show the tenant’s commitment to lease the property. It is normally determined by the landlord; however, it must not exceed the maximum amount permitted by State.
- Additional fees such as parking, trash, maintenance, pets, etc
- The lease term. This is the duration the tenant plans to stay at the property; this could be on a month-to-month basis or yearly.
Executing the lease
Once the involved parties have agreed on the terms and conditions, the next step is to implement the agreement. For the rental agreement to be effective, it does not have to be witnessed; however, it is recommended. Both parties can just sign, and the agreement will be valid. This is followed by the following actions.
- By landlord- He or she hands the keys to the property and all common areas to the tenant. This is unless the tenant is to occupy the space at a later date.
- By tenant- He or she pays the security deposit (could be a month’s rent), the 1st month’s rent, and any other required payments; for example, if the tenant plans to take occupancy before the actual lease start date, they would have to pay rent for the days prior.
Taking occupancy
This is done in two steps: you carry out a move-in inspection, and the other is the actual moving-in. The tenant moves around the property/space while listing the pre-existing damages or conditions of parts of the space. They then send a signed copy of the list of damages to the landlord. This is meant to shield the tenant from being wrongfully deducted for damages they are not responsible for. It also helps the landlord compare how the property was before occupancy and after to make appropriate deductions from the security deposit.
In some states such as Arizona, North Dakota, Georgia, New Hampshire, Kansas, Maryland, Washington, Massachusetts, Hawaii, Michigan, Montana, Nevada, Utah, Virginia, and Wisconsin, a move-in inspection checklist is a requirement.
End of the lease
This is the end of the lease term; the landlord and the tenant can decide whether to renew the lease or not. There are distinct situations that are likely to occur at the end of the lease; for example, sometimes the landlord can decide not to renew the lease, yet the tenant wishes to continue occupying the space. Unfortunately, where the landlord does not want to renew or revise the agreement, you as the tenant will have to move out, and the landlord is expected to refund the security deposit minus any deductions permitted under the security deposit returning laws. The end of the lease can be followed by;
- A renewal letter- This allows renewal of the lease, but in most cases, it is accompanied by changes to the initial agreement, such as increased monthly rent or more maintenance fees.
- Non-renewal letter- Issued when one or both parties do not wish to renew or extend the rental agreement.
Lease Terms-Explained
Beyond the basic terms of the amount of rent and length of lease term, there are other terms worth knowing. There are often pre-negotiated to avoid the probability of re-writing the entire agreement in case of an unprecedented event.
| Term | Explanation |
|---|---|
| Alterations | Includes modifications to the property. Most landlords do not allow alterations, and if any are made, they dictate that the property be returned back at the end of the tenancy. |
| Appliances | Where certain appliances such as cookers, washers/dryers are provided, they should be stated |
| Conditions Verbal Agreements | Where either party has other conditions, they would wish to include, they should be declared before the signature. As verbal agreements are not legally binding, all negotiated terms should be listed in the rental agreement form. |
| Furnishings Waterbeds | Available furniture such as beds, couches, other valuable items, etc., at the time of moving in should be listed to reduce ownership disputes when moving out. |
| Governing Law | As leases are governed by state laws, each party should be aware of the laws within their respective State. |
| Guests Maximum Time Period | The maximum number of guests who can be within the property at the same time should be declared to avoid unpermitted parties, which could result in penalties. If there’s a limit on the length of the lease term, it should be declared. |
| House Rules | Any house rules such as roommates allowed, common areas etiquette tenants are expected to observe should be addressed. |
| Insurance (Bond) | A declaration of how much the landlord pays as insurance on behalf of the tenant should be included. |
| Late Charges Grace-Period | The amount to be charged for late payments should be stated and the length of the grace period. Both will vary from State to State. |
| Maintenance | How to handle maintenance should be addressed, such as what type of maintenance and when they should be carried out. |
| Monthly Rent Payment Due Date Payment Location | The total amount of rent to be paid, when and where to be paid should be declared. The landlord should declare their preferred mode of payment, whether it is cash, checks, etc. |
| Notices | Situations that would necessitate notices should be stated, and how notices should be issued should be outlined. |
| Parking Parking Fee | Parking availability should be addressed, and where fees are applicable, it should be outlined in the rental agreement form. |
| Parties Occupants | The landlord and the tenant should be identified in the rental agreement form. Other occupants expected to be living with the tenant, e.g., the family members, should also be declared. |
| Pets Pet Fee/Deposit | Where pets are not allowed, the landlord should specify, and where a pet fee is required, it should be stated. If the tenant has a pet, they should state so. |
| Property Description | A proper description of the property should be provided. |
| Receipt of Agreement | Each party should have a copy of a receipt and acknowledgment of the lease. |
| Security Deposit | Both parties (landlord and tenant) should reach an agreement on how the security deposit should be handled, if applicable. |
| Subletting Airbnb | Sometimes the tenant may choose to re-lease the property and act as the landlord to another individual. The landlord should state his stand, and where they do not allow this, they can declare it in the agreement. Airbnb is an example of such a subletting agreement, where tenants make extra income by renting their spaces. |
| Term Fixed Term Month-to-Month | An agreement of the type of lease term should be declared. A term could be fixed for a specific given period or month-to-month, allowing either party to end the lease with a 30 to 60 days’ notice. |
| Termination | Ordinarily, rental agreement forms do not include an option for the tenant to terminate the lease. However, landlords can state events that would prompt termination. |
| Utilities | Both parties should agree on how to cater for utilities, whether to share costs or allocate different utilities. Sewer services are often covered by the landlord. |
Disclosures and Addendums
The rental agreement form should have a section for disclosures and addendums. These are dependent on your state of residence. For example, in Florida State, landlords are required to offer tenants to complete a move-in inspection checklist as a means to reduce lease disputes.
Common Disclosures, notices, and addendums
Below is a list of these documents that one should consider before leasing property.
- Assignment of Lease
- Eviction Forms
- Current Rent Balance Letter
- Lead-Based Paint Disclosure
- Notice to Enter!
- Receipt Tenant
- Rent Increase Letter
- Move-in / Move-out Inspection Checklist.
- Security Deposit Return Letter
- Personal Guarantee (Guaranty)
- Security Deposit Receipt
Late rent violations
Late rent payments can be handled either by imposing a late payment fee, which should be declared in the rental agreement form, or the landlord issuing a Notice to Comply or Quit declaring the landlord’s power to terminate the lease if payment is not dully paid.
Other violations
Should the tenant or the landlord violate the house rules or lease terms, respectively? The protesting party can issue a Notice to Comply or Quit, which gives the guilty party time to resolve the issue or be in breach of contract. Some of the violations common with tenants include;
- Loud Music
- Property Damage
- Unauthorized Pets
- Too Many Guests
- Illegal Activity
How to Fill a Rental Agreement Form
The following items should be evident in a standard rental agreement form;
- The Parties- this part identifies the involved parties (tenant and landlord) by name and addresses. It also includes the date of writing the agreement.
- Lease Type- a statement declaring whether the rental agreement is fixed or on a month-to-month lease. If it is a fixed, a start and end date should be given.
- Occupants- expected occupants such as children, roommates, etc., should be listed.
- The Property- the leased property should be described in detail, such as a two-bedroom end-suite apartment.
- Purpose- The tenant should declare their intended use of the property, e.g., business, residency, sub-letting, etc.
- Furnishings- Provided furniture such as beds, wardrobes, couches at the time of moving in should be listed.
- Appliances- Any appliances that the tenant expects to be provided or the landlord intends to provide should be listed.
- Rent- The rental amount should be declared in the rental agreement form and the monthly due date.
- Non-Sufficient Funds (NSF Checks)- How to handle NSF checks should be agreed upon, for example, by providing contact information to notify the tenant or applicable fees.
- Late Fee- It is a section that highlights how late payments will be dealt with should be included, e.g., late payment penalty.
- First Month’s Rent- When the 1st month’s payment should be paid should be outlined in the rental agreement form.
- Prepayment of Rent- Some tenants or landlords may prefer a couple of months’ rent to be paid in advance; if this is the case, it should be declared.
- Proration Period- If the tenant plans to occupy the property before the date of moving in, the proration period should be declared and charged appropriately.
- Security Deposit- Where a security deposit is required, payment amount, date, and method should be agreed on.
- Move-in Inspection- A move-in inspection is a significant step, and where it is required by law, it should be stated.
- Parking- Parking availability and applicable fees should be stated in the rental agreement form to alert tenants with vehicles.
- Sale of Property- Conditions that would govern the rental agreement should the landlord sell the property to another owner should be addressed in the rental agreement form. Customarily, the initial agreement would apply or terminate, depending on how both parties agree in the rental agreement.
- Utilities- Available utilities should be outlined, and payment plans should be discussed and agreed upon.
- Early Termination- An agreeable way to deal with early termination should be outlined, and reasons that would prompt early termination can be declared.
- Smoking Policy- The house rules regarding smoking should be addressed and any applicable penalties highlighted.
- Pet Policy- If pets are allowed or unacceptable within the premises, the lease will demonstrate the landlord’s stand on the issue.
- Waterbeds- Where waterbeds are not allowed, in efforts to avoid water damage caused by leakage should be declared.
- Notices- Methods of how notices will be issued and to whom should be outlined to prevent future claims that one party did not receive a notice.
- Agent/Manager- Sometimes, landlords use agents and managers to manage their property. The agent in charge or manager should be identified in the rental agreement form.
- Lead paint- If lead-based paint was used, it is important that it be stated in the agreement as deteriorating lead-based paint from peeling, cracking, chipping, etc., can be hazardous.
- Additional Terms and Conditions- Additional terms and conditions that each party might wish to add to the rental agreement can be added.
Landlord-Tenant Laws
Rental agreements between landlords and tenants are guided by different laws. This ensures both parties are protected under the law and can conduct transactions without exploitation or discrimination. Some of these laws will vary from one State to another, so it is important to familiarize yourself with the applicable laws in your State of residence.
Security Deposit Laws
Security deposit, defined as an amount of money paid in advance as security against the tenant’s non-performance of the rental agreement obligation. It is returned to the tenant in totality if the leased property is returned unscathed at the end of the lease. Should the tenant cancel the lease or get evicted, the landlord can keep the deposit.
| State | Maximum ($) | Returning | Statute |
|---|---|---|---|
| Alabama (AL) | 1 month’s rent | 60 days after the lease termination date and return/delivery of possession | § 35-9A-201 |
| Alaska (AK) | 2 months’ rent | 14 days if the tenant/lessee leaves on time, thirty days if they do not | § 34.03.070(a),§ 34.03.070(g) |
| Arizona (AZ) | A 1.5 months’ rent | 14 days from the move-out inspection (excluding. weekends and holidays) | § 33-1321 |
| Arkansas (AR) | 2 months’ rent | 60 days from the termination of tenancy | § 18-16-304, § 18-16-305 |
| California (CA) | 2 months’ rent (unfurnished), three months’ rent (furnished) | 60 days after the move-out date | 1950.5 |
| Colorado (CO) | No limit | One month if declared in the lease, two months if not | § 38-12-103 & § 38-12-104 |
| Connecticut (CT) | 1 month’s rent is 62 9sixty-two) years or older, two months’ rent if younger | 30 days after the move-out date or fifteen (15) days after receiving the tenant’s new address | § 47a-21 |
| Delaware (DE) | One month’s rent for one (1)-year leases. No limit for all others. | 20 days from the lease termination date | Title 25 § 5514 |
| Florida (FL) | No limit | 30 days if there are deductions, 15 days if there are no deductions | § 83.49(3)(a) |
| Georgia | No limit | One month after the termination date | § 44-7-34 |
| Hawaii (HI) | 1 month’s rent (excluding pet fee) | 14 days from/after the termination date | § 521-44 |
| Idaho (ID) | No limit | 30 days if stated/mentioned in the lease, and 21 days if not | § 6-321 |
| Illinois (IL) | No limit | 30 days if deductions exist, forty-five (45) days if no deductions | 765 ILCS 710 |
| Indiana (IN) | No limit | 45 days from the date of termination | § 32-31-3-12 |
| Iowa (IA) | Two months’ rent | thirty days after the tenant has vacated | § 562A.12 |
| Kansas (KS) | One month’s rent (unfurnished), 1.5 months’ rent (furnished) | 30 days from the lease termination date | § 58-2550 |
| Kentucky (KY) | No limit | 60 days from the termination date | § 383.580(7) |
| Louisiana (LA) | No limit | One month after the termination date | Revised Statute 9:3251 |
| Maine (ME) | Two months’ rent | 30 (thirty) days if the lease is fixed-period, 21 days if the lease is tenancy-at-will | § 6032, § 6033 |
| Maryland (MD) | 2 months’ rent | 45 days from the rental agreement termination date | § 8–203 |
| Massachusetts (MA) | 1 month’s rent | 30 days after the tenant has vacated | Chapter 186, Section 15B |
| Michigan (MI) | 1.5 months’ rent | 30 days after the end of occupancy | § 554.602, § 554.609 |
| Minnesota (MN) | No limit | Three weeks after the termination date | § 504B.178 |
| Mississippi (MS) | No limit | 45 days from the end of tenancy | § 89-8-21 |
| Missouri (MO) | 2 months’ rent | 30 days from the termination of tenancy | § 535.300 |
| Montana (MT) | No limit | 30 days if deductions, ten days if no deductions | § 70-25-202 |
| Nebraska (NE) | 1 month’s rent (excluding pet fee) | 14 days of move-out | § 76-1416 |
| Nevada (NV) | Three months’ rent | 30(thirty) days from the end of tenancy | NRS 118A.242 |
| New Hampshire (NH) | 1 month’s rent or $100, whichever is greater | Thirty (30) days, twenty days if the property is shared with the landlord | RSA 540-A:6, RSA 540-A:7 |
| New Jersey (NJ) | 1.5 months’ rent | 30 days from the termination date | § 46:8-21.2, § 46:8-21.1 |
| New Mexico (NM) | 1 month’s rent for leases one-year and under. No limit for residential leases more than one-year. | 30 days from the termination date | § 47-8-18 |
| New York (NY) | 1 month’s rent | fourteen days after the tenant has vacated | Emergency Tenant Protection Act 576/74(f), § 7-108 (e) |
| North Carolina (NC) | 2 months’ rent, for tenancy-at-will only 1.5 (one and half) months’ rent | 30 days if no deductions, if there are deductions then an additional 30 days | § 42-51, § 42-52 |
| North Dakota (ND) | 1 month’s rent for no pets, two months’ rent if pets | 30(thirty) days from the lease termination date | § 47-16-07.1 |
| Ohio (OH) | No limit | Thirty days from the termination date | § 5321.16 |
| Oklahoma (OK) | No limit | Forty-five days from the termination date | § 41-115(B) |
| Oregon (OR) | No limit | 31 days from the termination date | § 90.300 |
| Pennsylvania (PA) | 2 months’ rent | 30 days from the termination date | § 250.511a, § 250.512 |
| Rhode Island (RI) | 1 month’s rent | 20 days from the termination date | § 34-18-19 |
| South Carolina (SC) | No limit | 30 days from the termination date | § 27-40-410 |
| South Dakota (SD) | 1 month’s rent | 14 days if no deductions, forty-five days if deductions | § 43-32-6.1, § 43-32-24 |
| Tennessee (TN) | No limit | 30 days from the termination date | § 66-28-301 |
| Texas (TX) | No limit | 30 days after the tenant has vacated | § 92.103 |
| Utah (UT) | No limit | 30 days from the termination date | § 57-17-3 |
| Vermont (VT) | No limit | 14 days, sixty days if a seasonal property | § 4461 |
| Virginia (VA) | 2 months’ rent | 45 days from the termination date | § 55.1-1226(A) |
| Washington (WA) | No limit | 21 days from the tenant’s move-out date | § 59.18.280 |
| West Virginia (WV) | No limit | 60 days unless the property is re-rented within 45 days, then immediately | § 37-6A-1 |
| Wisconsin (WI) | No limit | 21 days from the tenant’s vacancy date | § 134.06 |
| Wyoming (WY) | No limit | 30(thirty) days from lease termination or 15 days from receiving the tenant’s forwarding address, whichever is lesser | § 1-21-1208(A) |
Laws for Landlord’s Access
Sometimes the landlord might need to access the tenant’s premises, and as the tenant holds the right of privacy, the landlord must first issue a notice requesting permission to enter the property. This notice is given through a Right to Entry Form, which can be handed to the tenant, posted, mailed, or placed under the door. As the period of notice is determined by State, below are variant durations per State.
| State | Required Notice | Statute |
|---|---|---|
| Alabama (AL) | 2 days | § 35-9A-303 |
| Alaska (AK) | 24 hours | § 34.03.140 |
| Arizona (AZ) | 48 hours | § 33-1343 |
| Arkansas (AR) | N/A | N/A |
| California (CA) | 24 for non-emergency, forty-eight (48) hours for the move-out inspection | § 1954 |
| Colorado (CO) | *N/A | *N/A |
| Connecticut (CT) | Reasonable notice | § 47a-16 |
| Delaware (DE) | 48 hours | Title 25 § 5509 |
| Florida (FL) | 12 hours | § 83.53 |
| Georgia | *N/A | *N/A |
| Hawaii (HI) | 2 days | § 521-53 |
| Idaho (ID) | *N/A | *N/A |
| Illinois (IL) | *N/A | *N/A |
| Indiana (IN) | Reasonable notice | § 32-31-5-6 |
| Iowa (IA) | 24 hours | § 562A.19 |
| Kansas (KS) | Reasonable notice | § 58-2557 |
| Kentucky (KY) | 2 days | § 383.615 |
| Louisiana (LA) | *N/A | *N/A |
| Maine (ME) | 24 hours | § 6025 |
| Maryland (MD) | *N/A | *N/A |
| Massachusetts (MA) | Reasonable notice | Sanitary Code (410.810) |
| Michigan (MI) | *N/A | *N/A |
| Minnesota (MN) | Reasonable notice | § 504B.211 |
| Mississippi (MS) | *N/A | *N/A |
| Missouri (MO) | *N/A | *N/A |
| Montana (MT) | 24 hours | § 70-24-312 |
| Nebraska (NE) | 1 day | § 76-1423 |
| Nevada (NV) | 24 hours | NRS 118A.330 |
| New Hampshire (NH) | Reasonable notice | RSA 540-A:3 |
| New Jersey (NJ) | 1 day | § 5:10-5.1 |
| New Mexico (NM) | 24 hours | § 47-8-24 |
| New York (NY) | *N/A | *N/A |
| North Carolina (NC) | *N/A | *N/A |
| North Dakota (ND) | Reasonable notice | § 47-16-07.3 |
| Ohio (OH) | 24 hours | § 5321.04 |
| Oklahoma (OK) | 1 day | § 41-128 |
| Oregon (OR) | 24 hours | § 90.322 |
| Pennsylvania (PA) | *N/A | *N/A |
| Rhode Island (RI) | 2 days | § 34-18-26 |
| South Carolina (SC) | 24 hours | § 27-40-530 |
| South Dakota (SD) | 24 hours | § 43-32-32 |
| Tennessee (TN) | 24 hours | § 66-28-403 |
| Texas (TX) | *N/A | *N/A |
| Utah (UT) | 24 hours | § 57-22-4 |
| Vermont (VT) | 48 hours | § 4460 |
| Virginia (VA) | 24 hours | § 55.1-1229(A) |
| Washington (WA) | Two days for repairs, one day for showings | § 59.18.150 |
| West Virginia (WV) | *N/A | *N/A |
| Wisconsin (WI) | Advance Notice | § 704.05(2) |
| Wyoming (WY) | *N/A | *N/A |
Rent Due Laws
A grace period is a period during which the lease rules and penalties do not take effect or are withheld. It protects tenants from being penalized or evicted despite being late on a payment. Grace periods will vary from one State to the other.
| State | When is Rent Due? | Laws |
|---|---|---|
| Alabama (AL) | On the due date (no grace period) | § 35-9A-161(c) |
| Alaska (AK) | On the due date (no grace period) | AS 34.03.020(c) |
| Arizona (AZ) | On the due date (no grace period) | ARS 33-1314(c) |
| Arkansas (AR) | On the due date in the lease, but there is a 5-day grace period before a late fee may be imposed | § 18-17-401(b)(1), § 18-17-701(b) |
| California (CA) | On the due date (no grace period) | CIV Code 1947 |
| Colorado (CO) | Not defined | No statute |
| Connecticut (CT) | 9-day grace period. | § 47a-3a(a), § 47a-15a |
| Delaware (DE) | On the due date in the lease, but there is a 5-day grace period before a late fee may be imposed | Title 25, § 5501(b), Title 25, § 5501(d) |
| Florida (FL) | On the due date (no grace period) | § 83.46(1) |
| Georgia | Not defined | No statute |
| Hawaii (HI) | On the due date (no grace period) | § 521-21(b) |
| Idaho (ID) | Not defined | No statute |
| Illinois (IL) | Not defined | No statute |
| Indiana (IN) | Not defined | No statute |
| Iowa (IA) | On the due date (no grace period) | 562A.9(3) |
| Kansas (KS) | On the due date (no grace period) | § 58-2545(c) |
| Kentucky (KY) | On the due date (no grace period) | § 383.565(2) |
| Louisiana (LA) | On the due date (no grace period) | La. Civ. Code art. 2703(1) |
| Maine (ME) | 15-day grace period | Chapter 710, §6028(1) |
| Maryland (MD) | On the due date (no grace period) | § 8-401(a) |
| Massachusetts (MA) | 30-day grace period. | Chapter 186, Section 15B(1)(c) |
| Michigan (MI) | On the due date (no grace period) | § 554.131 |
| Minnesota (MN) | Not defined | No statute |
| Mississippi (MS) | Not defined | No statute |
| Missouri (MO) | On the due date (no grace period) | Rev. § 535.060 |
| Montana (MT) | On the due date (no grace period) | § 70-24-201(2)(c) |
| Nebraska (NE) | On the due date (no grace period) | § 76-1414(3) |
| Nevada (NV) | On the due date (no grace period) | NRS 118A.210(1) |
| New Hampshire (NH) | Not defined | No statute |
| New Jersey (NJ) | Five business day grace period | § 2A:42-6.1(1) |
| New Mexico (NM) | On the due date (no grace period) | § 47-8-15(B) |
| New York (NY) | 5-day grace period | Housing Stability and Tenant Protection act of 2019 |
| North Carolina (NC) | 4-day grace period | § 42-46(a) |
| North Dakota (ND) | Not defined | No statute |
| Ohio (OH) | Not defined | No statute |
| Oklahoma (OK) | On the due date (no grace period) | § 41-109(B) |
| Oregon (OR) | On the due date in the lease, but there is a 4-day grace period before a late fee may be imposed | § ORS 90.220(7)(a), ORS 90.260(1)(a) |
| Pennsylvania (PA) | Not defined | No statute |
| Rhode Island (RI) | On the due date (no grace period) | § 34-18-15(c) |
| South Carolina (SC) | On the due date (no grace period) | § 27-40-310(c) |
| South Dakota (SD) | Not defined | No statute |
| Tennessee (TN) | On the due date agreed in the lease, but there is a five (5)-day grace period after which a late fee may be imposed | § 66-28-201(c), § 66-28-201(d) |
| Texas (TX) | Not defined | No statute |
| Utah (UT) | Not defined | No statute |
| Vermont (VT) | On the due date (no grace period) | 9 V.S.A. § 4455 |
| Virginia (VA) | On the due date in the lease, but there is a five (5)-day grace period after which a late fee may be imposed | § 55.1-1204(C)(4), § 55.1-1204(C)(5) |
| Washington (WA) | 5-day grace period | RCW 59.18.170 |
| West Virginia (WV) | Not defined | No statute |
| Wisconsin (WI) | Not defined | No statute |
| Wyoming (WY) | Not defined | No statute |
Late Fees Laws
The maximum/highest amount a landlord can charge a tenant for making late payments is not defined in most states. This is left for both parties (landlord and tenant) to agree on the acceptable late fees within the rental agreement.
| State | Late Rent Fees (maximum allowed) | Laws |
|---|---|---|
| Alabama (AL) | Not defined | No statute |
| Alaska (AK) | Not defined | No statute |
| Arizona (AZ) | No maximum, although it must be stated in the lease. | ARS 33-1368(B) |
| Arkansas (AR) | Not defined | No statute |
| California (CA) | Must be a “good faith estimation of the damages likely to be suffered/endured by the landlord in the case of a late payment.” Also, the late fee must be written in the lease. | Orozco v. Casimiro, 121 Cal. App.4th Supp. 7 (2004), CIV Code 1962 |
| Colorado (CO) | Not defined | No statute |
| Connecticut (CT) | Not defined | No statute |
| Delaware (DE) | 5% of the monthly rent amount | Title 25, § 5501(d) |
| Florida (FL) | Not defined | No statute |
| Georgia | “All contracts for rent/lease shall bear interest from the time the rent is due.” | Ga. Code § 44-7-16 |
| Hawaii (HI) | 8% of the expected monthly rent amount | § 521-21(f) |
| Idaho (ID) | Not defined | No statute |
| Illinois (IL) | Outside Chicago – Not defined Chicago only – $10.00 per month for the first $500.00 in monthly rent plus five percent per month for any amount in excess of $500.00 in monthly rent for the late payment of rent. | No statute 5-12-140(h) |
| Indiana (IN) | Not defined | No statute |
| Iowa (IA) | If the rent does not exceed $700/month, the late fee cannot exceed more than $12/day per day or $60/month. If the rent is greater than $700/month, the late cannot exceed more than $20/day or $100/month. | 562A.9(4) |
| Kansas (KS) | Not defined | No statute |
| Kentucky (KY) | Not defined | No statute |
| Louisiana (LA) | Not defined | No statute |
| Maine (ME) | 4% of the monthly rent amount | Chapter 710, §6028(2) |
| Maryland (MD) | 5% of the monthly rent amount | Md. Code, Real. Prop. § 8-208(d)(3) |
| Massachusetts (MA) | Not defined | No statute |
| Michigan (MI) | Not defined | No statute |
| Minnesota (MN) | 8% of the monthly rent amount | 504B.177(a) |
| Mississippi (MS) | Not defined | No statute |
| Missouri (MO) | Not defined | No statute |
| Montana (MT) | Not defined | No statute |
| Nebraska (NE) | Not defined | No statute |
| Nevada (NV) | 5% of the monthly rent amount | NRS 118A.210(4)(a) |
| New Hampshire (NH) | Not defined | No statute |
| New Jersey (NJ) | Outside Jersey City – Not defined Jersey City only – $35 | No statute Ord. 20-036 |
| New Mexico (NM) | 10% of the monthly rent amount | § 47-8-15(B) |
| New York (NY) | $50 or 5% of the monthly rent amount, whichever is less | Housing Stability and Tenant Protection act of 2019 |
| North Carolina (NC) | $15 or 5% of the monthly rent amount, whichever is greater. | § 42-46(a)(1) |
| North Dakota (ND) | Not defined | No statute |
| Ohio (OH) | Not defined | No statute |
| Oklahoma (OK) | Not defined | No statute |
| Oregon (OR) | 5% of the monthly rent amount, charged once for each succeeding 5-day period | ORS 90.260(2)(c) |
| Pennsylvania (PA) | Not defined | No statute |
| Rhode Island (RI) | Not defined | No statute |
| South Carolina (SC) | Not defined | No statute |
| South Dakota (SD) | Not defined | No statute |
| Tennessee (TN) | 10% of the monthly rent amount | § 66-28-201(d) |
| Texas (TX) | 12% of the monthly rent amount if located in a building with four units or under or10% of the monthly rent amount if located in a building with more than four units | Sec. 92.019(1) |
| Utah (UT) | Not defined | No statute |
| Vermont (VT) | Not defined | No statute |
| Virginia (VA) | 10% of the monthly rent amount | § 55.1-1204(E) |
| Washington (WA) | Not defined | No statute |
| West Virginia (WV) | Not defined | No statute |
| Wisconsin (WI) | Not defined | No statute |
| Wyoming (WY) | Not defined | No statute |
Key Takeaways:
A lease/rent agreement is a legally binding agreement used to protect landlords’ and tenants’ interests. Its content can vary from one State to the other. It is a significant part of a lease and helps both parties decide if their expectations are met in the lease. It highlights the details such as rental amount, due date, lease term, security deposit, house policies, etc. Some of the terms and conditions are governed by state laws such as late fees laws, security deposit laws, due rent laws, and landlord access laws. Aim to familiarize yourself with the laws before entering into a rental agreement.
