What is a rental agreement?
A rental agreement (also called a residential tenancy agreement or lease) is the contract between a tenant and landlord, or agent, that sets out the rent, the term of the tenancy, and each side's obligations — who repairs what, how much notice is needed to end the tenancy, and what happens to your bond at the end. Most jurisdictions require certain minimum terms regardless of what's written, but the agreement still shapes most of the day-to-day relationship.
Fixed-term and periodic (month-to-month) agreements work differently, particularly around ending the tenancy early and rent increases — so it's worth confirming which type you're signing before focusing on any other clause.
When you'll come across one
You'll sign a rental agreement when you move into a new rental property, when a fixed-term lease is renewed or converts to periodic, or when a property changes managing agent and asks tenants to re-sign updated terms. A condition report is typically completed alongside it and matters just as much as the agreement itself.
It's worth rereading at renewal time too — rent, term length and included utilities can all change between agreements even at the same address.
Key terms to know
- Bond (security deposit)
- An amount held — often by an independent authority, not the landlord directly — as security against unpaid rent or damage beyond normal wear and tear, refundable at the end of the tenancy if there's no valid claim against it.
- Condition report
- A detailed record of the property's condition at move-in, used to determine what counts as damage versus normal wear and tear when the bond is assessed at the end. An inaccurate or missing condition report can cost you your bond over disputes that are hard to prove either way.
- Fixed-term vs periodic agreement
- A fixed-term agreement runs for a set period (commonly 6 or 12 months) with limited ability to end early without a fee; a periodic agreement continues month-to-month with more flexible notice periods on both sides.
- Break lease fee
- A cost payable if you end a fixed-term agreement before its end date, often calculated based on how much of the term remains and how quickly a new tenant is found.
- Notice period
- The minimum warning either side must give to end the tenancy, which usually differs depending on whether it's a fixed-term or periodic agreement, and depending on who is ending it.
- Rent increase notice
- The minimum advance warning a landlord must give before increasing rent, and in some jurisdictions, a minimum gap between increases — both usually apply regardless of what the agreement itself says.
- Routine vs urgent repairs
- Repairs are often split into categories with different response-time obligations for the landlord — a broken lock or gas leak is treated very differently to a cosmetic issue like a chipped tile.
- Quiet enjoyment
- Your right to reasonable privacy and undisturbed use of the property, including minimum notice before a landlord or agent can enter for an inspection or repairs.
What to check before you agree to anything
Whether the agreement is fixed-term or periodic
This changes your notice period, your ability to leave early without a fee, and how rent increases are allowed to work — confirm which one you're actually signing.
The condition report's accuracy and completeness
Photograph everything yourself at move-in and note any existing damage, even minor, so it isn't later attributed to you.
What counts as a break lease fee and how it's calculated
Look for whether the fee is a fixed amount, a percentage of remaining rent, or tied to how quickly a replacement tenant is found — these can produce very different costs.
Who is responsible for specific repairs and maintenance
Appliances, gardens and pest control are common areas where responsibility is split differently between agreements — don't assume based on a previous rental.
Entry and inspection notice requirements
Confirm the minimum notice the landlord or agent must give before entering, and whether it differs for routine inspections versus repairs or emergencies.
Any clauses restricting pets, guests or subletting
These vary significantly between agreements and can affect your day-to-day life more than most other clauses — check for approval processes rather than blanket bans, which aren't always enforceable as written.
Questions worth asking first
- Is this a fixed-term or periodic agreement, and what happens automatically when the fixed term ends?
- How is the break lease fee calculated if I need to leave early?
- Who's responsible for specific repairs — appliances, garden maintenance, pest control?
- How much notice will I be given before an inspection, and how often do they happen?
- Is there anything in the condition report I should double-check or add to before I sign?
Frequently asked questions
What's the difference between a bond and rent in advance?
Rent in advance covers an upcoming rental period and is used as rent. A bond is separate security held against damage or unpaid rent, and is meant to be refunded at the end of the tenancy if there's no valid claim.
Can a landlord increase my rent whenever they like?
No — most jurisdictions require a minimum notice period before a rent increase, and often a minimum gap since the last increase, regardless of what the agreement says.
What happens if I want to leave before a fixed-term lease ends?
You'll typically owe a break lease fee, calculated in a way set out in the agreement or by local tenancy rules — it's worth understanding this calculation before signing, not after deciding to leave.
Who pays for repairs during a tenancy?
It depends on the type of repair and the specific agreement — essential repairs (like a gas leak or broken lock) are usually the landlord's responsibility and often have set response times, while some minor or tenant-caused damage may not be.
Do I get my bond back automatically at the end of the tenancy?
Only if there's no valid claim against it — an accurate move-in condition report and photos are the most useful evidence if there's ever a dispute about what counts as damage.
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This guide provides general information and is not professional legal, financial or other advice specific to your situation.