Residential Lease: Everything You Need to Know Before Renting or Letting a Property
Our real estate agency in Paris's 16th arrondissement tells you more about residential leases, how to draft them, and their duration.
What is a residential lease?
A residential lease is a written rental agreement between a landlord (landlord) and a tenant, which governs the rental of a dwelling. The dwelling may be unfurnished or furnished. This document is governed primarily by Law No. 89-462 of July 6, 1989, as amended in particular by the ALUR Law (Access to Housing and Urban Renewal).
What is the purpose of a residential lease?
A residential lease has legal standing. It allows you to:
- It is up to the landlord to assert their rights in the event of unpaid rent or property damage;
- It is the tenant’s responsibility to ensure stable, regulated, and fair housing conditions;
- Both parties should have a reference document in the event of a dispute;
- To comply with legal requirements regarding rentals.
It sets forth the lease term, the rent amount, the terms for rent adjustments, the allocation of expenses, the condition of the dwelling, security deposits, etc.
How do you draft a valid residential lease?
A valid lease must be in writing and include certain legal notices:
- The full identification of the landlord and the tenant;
- A detailed description of the housing (size, amenities, common areas, etc.);
- The amount of rent, the service charges, and how they are adjusted;
- The effective date of the lease and its term;
- The security deposit amount ;
- The move-in inspection report (attached to the lease);
- The file on technical diagnostics (energy performance certificate, electricity, lead, etc.);
- The appendix on the tenant's rights and responsibilities (information sheet).
Who are the parties involved in a residential lease?
The parties to the lease are:
- A landlord—whether an individual or a corporation—who makes a dwelling available;
- The tenant, who may be an individual (student, employee, retiree, etc.) or, in some cases, a company (for example, under a mobility lease);
- If applicable, a guarantor, who acts as a guarantor for the tenant's obligations.
Good to know: In some cases, the lease may be co-signed by several roommates or co-owners. In such cases, the joint and several liability of the roommates must be specified in the contract.
How long is a residential lease?
The duration varies depending on the type of housing:
- Vacant housing: The minimum term is 3 years if the landlord is an individual, and 6 years if the landlord is a corporation;
- Furnished Housing : The minimum term is 1 year, or 9 months if the tenant is a student;
- The lease is automatically renewable, unless either party gives notice of termination in accordance with the established rules;
It is also possible to sign a short-term lease (1 to 10 months, non-renewable), intended for certain groups (students, interns, employees on assignment, individuals in vocational training, etc.).
