• Thu. Sep 21st, 2023

Benefits of Signing Tenancy Agreement for Landlords and Tenants

UGANDA, Kampala | Real Muloodi News | Renting a property can be a complicated process for both landlords and tenants. As a landlord, it takes time and money to develop a property that will attract potential tenants.

As a tenant, having enough money to pay rent on time is essential. Recently, a mini-survey was conducted among landlords and tenants in Kampala to understand whether they had formulated or signed a tenancy agreement.

Surprisingly, many landlords ignored the importance of signing a tenancy agreement, which can lead to disputes with their tenants.

What is a Tenancy Agreement?

A tenancy agreement is a legally binding contract between a renter and a property owner or manager. It is signed along with the agreed-upon initial payments and clears the way for a tenant to take occupancy of a rental property.

The tenancy agreement gives both the occupant and the property owner or manager a mutual understanding of the terms of occupancy, including the date, amount of money, and terms and conditions that the tenant must adhere to while residing in the house.

Ladarius Rwakafuzi, a human rights lawyer, states that after the document has been signed, it becomes a legally binding agreement.

Muzamiru Kibedi, a lawyer, notes that most people take this document for granted, and many do not sign it, but they make a big mistake.

Signing the tenancy agreement helps you know your limits as a tenant and the limits of the landlord, which ensures peaceful living. This document states when the landlord should come to the premises, helping the tenant have some privacy on the property. It also protects the two parties against taking advantage of each other.

Ronald Musoke, a landlord, notes that while signing the tenancy agreement, there must be a section that clearly shows the date of occupancy and states the date when the next rent payment should be made. This helps in tracking and knowing when the rent should be expected and what should be done in case it doesn’t come on time.

A tenancy agreement should clearly state the amount of money a tenant is expected to pay per month. The mode of payment should also be stated, as it could be through the bank, mobile money, or giving the landlord or property manager their cash.

Some landlords opt to fine tenants who do not pay rent on time, but if this is not clearly stated in the agreement, it becomes challenging for the tenant to accept and pay that charge.

Tenant and Landlord Roles

Conflicts between landlords and tenants over issues like fixing broken pipes, and toilets, or clearing the dumping area and repainting the house often arise.

To avoid such conflicts, it’s important that landlords clearly state their roles in the tenancy agreement so that the tenant gets to know what the landlord does and does not want.

Rwakafuzi says landlords randomly increase rent, which destabilises tenants. However, if the landlord includes a time frame when he or she might increase their rental charges, it guides the renter to plan ahead of time and decide whether to stay, even when the rent has been increased or not.

Real Muloodi Property Site and Security Measures

With the increasing trend of online rental applications and transactions, more and more property management companies are implementing advanced security measures to prevent fraud and protect their tenants and landlords.

One such platform is Real Muloodi Property Network, which has implemented facial recognition technology to verify the identity of users or prospective tenants. It is a secure online platform that helps landlords and tenants connect.

While such measures can help reduce fraud and improve security, they do not guarantee the prevention of disputes between tenants and landlords.

In such cases,  for landlords, a tenancy agreement can serve as a legally binding document that outlines the terms and conditions of the rental agreement and helps to settle disputes and for tenants, it offers protection against arbitrary eviction and rent increases.

The document also helps to establish a good working relationship between the tenant and landlord, which can lead to a long-term and mutually beneficial arrangement.

By signing a tenancy agreement, both parties can avoid misunderstandings and conflicts that can arise from unclear or ambiguous terms.

Moreover, it ensures that the tenant has a clear understanding of their rights and responsibilities, as well as those of the landlord.

For instance, the document can outline who is responsible for repairs and maintenance of the property, what constitutes damage to the property, and what actions can lead to eviction.

Tenancy agreements can also specify the duration of the tenancy and the terms and conditions for renewing or terminating the agreement. This can be useful for both parties, as it provides a clear timeline for how long the tenant can stay in the property and when they must vacate the premises.


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