When it comes to renting property, many people believe that a written rental agreement is the only legally binding document. However, verbal rental agreements can also be legally binding under certain circumstances.
Firstly, it`s important to understand what a verbal rental agreement is. It`s simply an agreement where the landlord and tenant come to a verbal agreement on the terms and conditions of the lease agreement, without signing a written contract.
In most cases, verbal rental agreements are considered legally binding if both parties have agreed to the terms and conditions and have acted accordingly. For example, if the tenant has paid rent and the landlord has accepted it, then it`s assumed that both parties have agreed to the rental terms and conditions.
However, verbal rental agreements can be a bit tricky to enforce. This is because it can be difficult to prove the terms and conditions of the agreement in the absence of a written contract.
If there is a dispute between the landlord and tenant, it can be difficult to determine the rights and obligations of each party without a written rental agreement. Therefore, it`s always recommended that landlords and tenants sign a written rental agreement to avoid any confusion or disputes down the line.
It`s also important to note that some states have specific laws regarding verbal rental agreements. For example, in New York, verbal rental agreements are only valid for leases that are less than one year. In California, verbal rental agreements are not valid for leases that are longer than one year.
In conclusion, verbal rental agreements can be legally binding under certain circumstances. However, it`s always recommended that landlords and tenants sign a written rental agreement to avoid any confusion or disputes down the line. If you`re unsure about whether a verbal rental agreement is valid in your state, it`s recommended that you seek legal advice.