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How to prepare Lease Extension Agreement
About Lease Extension Agreement
A Lease Extension Agreement is a legal contract between a tenant and a landlord that extends the existing lease term beyond its original duration. This agreement is used when the tenant desires to continue occupying the rental property after the initial lease period expires. The Lease Extension Agreement outlines the terms and conditions for extending the lease, including the new lease period, rental rate, and any other modifications or provisions agreed upon by both parties. It is typically signed before the existing lease term ends and becomes effective immediately upon expiration of the original lease. There are several reasons why both tenants and landlords may need a Lease Extension Agreement. For tenants, it may be beneficial when they wish to avoid the hassle and expense of finding a new rental property or prefer to stay in a location that suits their needs. Landlords may also find it advantageous to extend a lease with a responsible and reliable tenant instead of going through the process of finding new occupants. In summary, a Lease Extension Agreement serves as a legal document that allows tenants to continue residing in a rental property beyond the initial lease term while providing landlords with a tenant commitment for an extended period.
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