Getting to Know Sample Nevada Lease Agreements
What a Nevada Lease Agreement Is
While Nevada law does not have a statutory definition of a "lease agreement" between a landlord and tenant, a lease agreement is simply an agreement between two parties (the landlord and tenant) for the rental or leasing of a property.
Examples of commonly known lease agreements include but are not limited to the following: apartment leases ("Standard Lease Agreement"; "Apartment Lease Agreement") , commercial lease agreements (office, non-gaming, industrial and warehouse), exclusive use clause agreements (closed to the general public, tenant exclusive use only), exclusive use clause agreements (open to the general public, tenant exclusive use), parking lease agreements (exclusive use, general use, shared use), garage space lease agreements (tenant only exclusive use).
What a Nevada Lease Agreement Must Include
When entering into a lease agreement in Nevada, it is critical to include certain essential elements. These components ensure both parties are aware of their rights and obligations and strengthen the legal enforceability of the contract. The following section highlights the most common features of a lease agreement in Nevada.
The first item that should be addressed in a Nevada lease agreement is the identity of the parties involved. The lease should clearly name the landlord as well as any tenants. This is particularly important where some tenants are minors so the contract can be enforceable against parents or guardians.
Following the introductory language, the lease agreement should explain the structure that is being leased. This involves articulating the type of property (house, townhome, condo, duplex), its address, whether the structure is unfurnished or furnished, the square footage, and a description of any common areas such as a laundry room, clubhouse, or pool. A court will most likely not enforce a lease agreement that does not properly identify the property or its amenities.
As a general rule, a lease agreement in Nevada must state the rent amount, when the rent payments are due, and how a potential landlord could increase the rent. While there is a 5% cap on increases in rent from one lease term to another, a Nevada landlord is free to set a higher monthly rent as long as he or she clearly identifies the conditions for the increase. A Nevada landlord may increase the monthly rent if the insured value of the property increases by a significant amount. In addition, if the tenant is a new tenant, the landlord may increase the rent to market rate without giving notice to the tenant.
Another important component of Nevada lease agreements involves the lease term. This section should clearly outline the length of the lease, such as month-to-month or year-to-year. If it is a month-to-month lease, the notice period should be identified. Finally, if there are any renewal options, this should also be addressed here.
Lastly, a Nevada lease agreement should always have the signatures of all parties involved as well as the dates on which each person signed. This clarifies when the contract was made and whether the terms might have changed after the fact.
Legal Requirements for Nevada Leases
Nevada law has several provisions specific to lease agreements. First, the Nevada Revised Statutes (NRS) require that landlords provide tenants with a written disclosure form regarding the Landlord-Tenant Act, which outlines both landlord and tenant rights and obligations, prior to signing the lease. This is somewhere between a red-tape, cut-and-paste exercise and a very good idea worth the extra time and cost. Additionally, certain lease provisions are mandatory under state law. For example, each lease must contain either an option to purchase the home at a fixed price, or a statement disclosing that the landlord will send a notice to the tenant upon sale of the property to give the tenant an option to purchase or lease the property. Furthermore, leases for lots in a mobile home park must also contain required items including a statement of all additional rent or fees charged, notice as to the right to renew lease, a provision concerning the authorization of improvements by tenants, an option to lease at the end of the term, and a non-recourse clause. Finally, nearly all residential leases must include a provision providing notice of the right to request reduced fees for services from the Secretary of State.
How to Write a Sample Nevada Lease Agreement
When drafting a sample lease agreement for a property in Nevada, there are several important factors to keep in mind to ensure that the document protects your interests and complies with state law. The following tips will help you get started on creating a customized lease agreement for your specific property:
First, familiarize yourself with Nevada’s landlord-tenant laws, which can be found in Chapter 118 of the Nevada Revised Statutes. This will give you a better understanding of the landlord and tenant rights specific to the state. You may also want to refer to the Nevada Rental Value for more information about legalities for landlords.
Next, consider your specific property needs when drafting the lease agreement. For example, will you allow pets? Are there specific rules about smoking in the property? Including specific language or even additional pages to address these concerns will help avoid any contention later.
You’ll also need to get the correct information regarding your tenant to fill out the agreement. This should be done before any lease is signed to ensure you’re receiving accurate information from your new tenant.
Finally, be sure to have the lease agreement signed by both you and your new tenant. This will make it a legally binding agreement.
Following these simple guidelines will help you create a well-written sample lease agreement for your property in Nevada. If you’re uncertain about any lease terms or legalities regarding tenants, it’s a good idea to consult with an attorney who specializes in landlord-tenant disputes.
Advantages of a Sample Nevada Lease Agreement
When it comes to renting out a property, having a reliable lease agreement is essential for both the landlord and tenant. While most landlords have their own version drafted using an attorney, many do not. A sample lease agreement can be used as a template from which a landlord can develop their specific lease tailored to their individual property or properties. For a new owner of several properties, it may be easy to use the same basic lease template for all their properties. For a tenant that has rented several properties, a sample lease agreement can be a welcome sight when getting ready to rethink their lease.
Many landlords, particularly first time landlords, are surprised at how much time and trouble can be saved with a sample lease agreement. A sample lease agreement gives a landlord the opportunity to clearly and specifically outline every aspect of the lease agreement. A sample lease can be used to determine what is important to both the landlord and tenant. A sample lease agreement will provide peace of mind that both the landlord and the tenant understand their obligations. This enables both the landlord and tenant to understand their rights early. A clear understanding can save landlords valuable time and money while reducing confusion and potential legal problems that may arise when both sides come to the agreement unprepared.
The simplicity of many sample lease agreements allows landlords to efficiently outline everything that will be expected of the tenant from the beginning . From how much rent will be charged to maintenance responsibilities, extra stipulations such as pet ownership, and even what happens at the end of the lease, a sample lease agreement can do it all. A sample lease is especially helpful for landlords with multiple properties. Having the same lease for all their properties is an advantage to a busy landlord. Many landlords also have multiple tenants. For a landlord with multiple properties and multiple tenants, a sample lease agreement can a tremendous help. For a busy landlord, a sample lease agreement can save the landlord valuable time, energy, resources and money. A sample lease agreement will most likely require revisions due to the individual aspects of each property, or specific wants and needs of the individual tenant. An area that is particularly important to check when considering specific leased property is whether or not the tenant will be responsible for the upkeep and maintenance of a pool or spa. Another area that may require an individual leases are if there is a separate laundry area or garage for individual properties. Many tenants find garages especially desirable. If a landlord with multiple properties has offered garage space for each of their tenants, when the tenant vacates the premises, a garage or laundry area may be lease by another tenant until it is needed by the landlord. A sample lease agreement is an invaluable tool for landlords. It allows them to meet the needs of their properties, their tenants and themselves efficiently and effectively.
Common Errors in Nevada Lease Agreements
As important as understanding the provisions of your lease agreement is, there are also some pitfalls and mistakes we see tenants and landlords make:
- Sign before you read. It is never a good idea to sign a lease without reading every word. Tenants frequently ask us to interpret a lease after they have already signed it. Trust your instincts – if the lease does not seem to be fair, then it is probably not. Pass on signing the lease and look for something better.
- Putting off performance of repairs. Lease agreements frequently require the tenant to fix problems that are discovered when moving into the space. A simple "as-is" provision is usually problematic. Instead, define exactly what is required for possession. This will save you from the cost of repairs or buildout, and save you the aggravation of your landlord saying is an "improvement," when you believe it to only be a repair.
- Not reading the fine print. We frequently get questions about the rules and regulations. Often these are referenced in the lease agreement but are nowhere to be found. Do not sign a request for approval until you have read everything and have cleared up any negotiation with the landlord first.
- Failing to negotiate the deposit. If a tenant is going to move forward and sign a lease agreement, there will often be some level of a deposit required. The amount of the deposit can be negotiated and should be reviewed with a glance towards the real value of the property you are renting. If it is too low, the deposit will not provide real protection. If it is too high, then it will be difficult to come to agreement over what constitutes normal wear and tear, making it next to impossible to recover the entire amount at the end of the lease.
- Setting yourself up for failure. If you are signing a lease that you know will only last for two months while your restaurant is being built out, it’s important that you do not sign a lease that binds you to your location for five years.
Where to Get Accurate Nevada Lease Agreement Samples
While it is possible to find various lease agreement templates on the Internet, it is important to remember that landlords are not required to use the standard lease form as long the proposed agreement meets the legal requirements of the state of Nevada. Nonetheless, both landlords and tenants benefit from the use of the standard lease form published by the defaulting agencies.
The following are some credible sources and resources where landlords and tenants can find Nevada residential lease agreement templates:
• Organizations such as the Nevada Association of REALTORS® provide downloadable versions of national standard lease agreements, move-in inspection forms and rental applications. These organizations also provide landlords and tenants with other types of information and forms.
• Law firms such as McCormick, Barstow, Sheppard, Wayte & Carruth LLP provide downloadable sample lease agreements for Nevada that are in compliance with the landlord and tenant laws of the state . Some firms may provide additional information, including a glossary of selected legal terms pertaining to the residential leasing process.
• The eForms Library is another site where various types of lease agreements, rental applications and eviction notice forms can be downloaded or purchased. The eForms Library also provides parties with additional information on the landlord and tenant laws governing Nevada for residential properties.
The ability to download a sample lease agreement is helpful for landlords and tenants who reside in different areas of the state or even out-of-state. When a landlord uses an online resource to develop a sample lease agreement, he or she should ensure that the proposed lease has been customized to meet the specific agreement between the parties.
Please access other parts of this blog for articles pertaining to any issues related to landlord-tenant relationships.