A lease is a contract between two parties where a user, or lessee, pays the owner, or lessor, for the use of an asset.  Leases can involve real estate or personal property, including intangible property (similar to a license).  In the case of personal property or certain month-to-month agreements, a lease can also be referred to as a rental agreement.

The Basic Elements of a Lease

A lease must contain certain basic elements – the parties, date, object to be leased, and payment terms – and  normally contain many additional terms such as conditions and restrictions.

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