Market Perspectives Blog

Key Terms on the Texas Lease Listing Agreement

Whether you’re a prospective tenant seeking to comprehend your rights and obligations or a landlord aiming to ensure clarity and transparency in your lease agreements, a solid grasp of key terms is essential. In Texas, the Texas Real Estate Commission (TREC) residential lease listing form serves as a foundational document governing lease agreements with Brokers across the state. In this post, we’ll delve into the essential terms outlined in the Texas lease listing agreement, providing insights and explanations to empower landlords and inform tenants in their leasing endeavors. From security deposits to termination clauses, we’ll break down each term to demystify the leasing process and foster informed decision-making. 

  1. Security Deposit: A security deposit is a refundable amount of money paid by the tenant to the landlord at the beginning of the lease term. It serves as financial protection for the landlord against damages to the property or unpaid rent.

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  3. Pet Deposit: A pet deposit is an additional deposit paid by the tenant to the landlord to cover any damages caused by pets during the lease term. This deposit is often separate from the security deposit.

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  5. Lease Term: The lease term refers to the duration of the lease agreement, specifying the start and end dates during which the tenant has the right to occupy the property.

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  7. Rent Amount and Due Date: The rent amount is the agreed-upon sum that the tenant pays to the landlord in exchange for the right to occupy the property. The due date is the deadline by which the rent payment must be received by the landlord each month.

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  9. Late Fee: A late fee is a penalty charged by the landlord if the tenant fails to pay the rent by the due date specified in the lease agreement.

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  11. Utilities: Utilities refer to services such as electricity, water, gas, and internet that are necessary for the occupancy of the property. The lease may specify whether the tenant or landlord is responsible for paying for these services.

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  13. Maintenance and Repairs: The lease may outline the responsibilities of both the landlord and tenant regarding maintenance and repairs of the property. This includes who is responsible for minor repairs, such as changing light bulbs, as well as major repairs, such as plumbing or HVAC issues.

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  15. Tenant’s Insurance: The lease may require the tenant to obtain renter’s insurance, which provides coverage for the tenant’s personal belongings in case of theft, damage, or other covered events.

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  17. Subleasing: Subleasing occurs when the tenant rents out all or part of the property to another party, known as the subtenant. The lease may specify whether subleasing is allowed and under what conditions.

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  19. Termination Clause: The termination clause outlines the conditions under which the lease agreement can be terminated by either the landlord or the tenant before the end of the lease term. This may include reasons such as non-payment of rent, violation of lease terms, or other specified circumstances.

 
  1. Trip Charge: A trip charge typically refers to a fee charged for each trip a service provider makes to a property for a specific purpose, such as repairs or maintenance. In the context of a residential lease listing form, this term might indicate any charges associated with service providers visiting the property for maintenance or repair work. For example, Tenant calls to say kitchen sink is not working so Landlord arranges to have one of our Plumbing Partners come by. The plumber charges Landlord a fee just for going to the home but the Tenant is not there. 

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  3. Keybox: A keybox is a secure box typically mounted near the entrance of a property that holds keys to the property. Real estate agents often use keyboxes to provide access to the property for other agents or individuals involved in property showings or inspections. The mention of a keybox on the TREC form likely relates to the method used for secure access to the property.

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  5. Early Withdraw Fee: An early withdrawal fee is a penalty charged for withdrawing from an agreement or contract before the agreed-upon timeframe expires. In the context of a residential lease listing form, this might refer to any fees or penalties associated with terminating the lease agreement early.

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  7. Inventory & Condition Form: An inventory and condition form is a document used to record the condition of a rental property and its contents at the beginning and end of a lease term. This form typically lists items in the property and allows tenants and landlords to note any existing damage or issues. It helps protect both parties by providing a record of the property’s condition and any pre-existing damage before the tenant moves in.

Standard Texas Lease Form