Tenancy Agreement Letter

If you are planning to rent out or lease a house, it is recommended that you sign a formal tenancy agreement with your tenant to list out the terms of the tenancy and bring everything on record in case a conflict arises in the future.

The legal validity of such an agreement however may vary depending on your local laws, so it is always prudent to inquire about any issues before entering into an agreement. Generally you need to list all your terms, including those related to damage assessment, cost of repairs, security deposit, payment method, payment terms, duration of notice before termination of lease (from either party).

If there are any particular terms regarding the use of land (parking space, water, light, utility bills), you should include them too and get the agreement signed by both parties.

Tips for Writing a Tenancy Agreement Letter

  • Clarify the names of both parties for identification
  • Clearly set out all the terms of the agreement
  • Double check and ensure that no major term or condition is left out
  • The agreement letter should be signed by both parties


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    Sample of a Tenancy Agreement Letter


    Phil Hampton
    25 Hudson Street
    May 14, 2013

    Dear Mr. Hampton,

    I am writing this letter to formally set out the terms of your tenancy agreement. As per our discussion, you (Mr. Hampton) will be staying as a tenant at my (Mr. Smith) property, located at 28 Carlton Avenue, starting June 1, 2013.

    Before the commencement of the tenancy you will be required to pay 3 months’ rent in advance along with a $1,000 security deposit. The total amount to be paid on or before the June 1, 2013 is $1,000 + (3 x $1,200) = $4,600.

    Moreover, we will be taking a tour of the apartment together before the commencement of the tenancy to assess the state of affairs and condition of the property. After the initial assessment, any damage caused to the property or items on the property will be paid for by the tenant (Mr. Hampton)

    The landlord (Mr. Smith) will be liable for maintenance of utilities, but all bills will be paid for by the tenant. The tenant will also get parking space allowance for one vehicle.

    In case one party wishes to terminate this contract, a 3-month notice will need to be given to the other party.

    If there are any terms you have concerns regarding, please feel free to object.


    Shane Smith
    123 Main St.

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    Template of a Tenancy Agreement Letter

    [Tenant’s Name]
    [Tenant’s Address]

    Dear [Tenant’s Name],

    This letter formally sets out the term of our agreement for your tenancy at my property, located at (Address of property) starting (Date of commencement of tenancy).

    If you agree to these terms and the contract you will be liable to pay a total of ($ amount) before the (Date of commencement). This will include ($ Initial deposit + $ advance rent).

    Moreover, I am willing to give you a property tour at (Proposed date for tour), during which you can assess the state of the property. You will then be liable for any damage to the property or the items on it after you move in as a tenant.

    Rent payment will be made in cash, every calendar month, no later than the 7th.

    You will have the following rights of use: (Terms related to use of land like parking space, walkways etc).

    If you have any concerns regarding the proposed terms, kindly let me know.


    [Your name]
    [Your signature]

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