Rent Agreement Letters: What Are They?

Rent agreement letters are often used in tenancy transactions. It is a formal and brief letter that outlines the rental agreement between property owners and renters. But instead of presenting the data with structured clauses and technical format, as often seen in most formal agreements and contracts, a rent agreement letter is written in a basic letter format. So it is easier to understand and more convenient to make as well. Nonetheless, the letter should still state the rent agreement’s key points before the tenancy begins.

According to Statista’s February 2021 survey, the average cost of an apartment rental in the US was $1,124 per month.

Why Is a Rent Agreement Letter Important?

A rent agreement letter is essential since it presents the data from the original rental agreement or contract in the simplest way possible. And since it still covers the significant points from the agreement, at least both tenants and property owners can look at the important rental agreement details quickly to stay reminded about their roles and responsibilities. Hence, a basic rental agreement letter is more direct to the point than a lengthy rent agreement. Also, you can’t forget that a rent agreement letter must be signed so it still brings confirmation that both parties have read and understood the agreement terms.

Moreover, rent agreement letters protect both parties. The letter can be used as legal proof of rental service, in case it gets asked in court processes. Also, it can cover all sorts of rental aspects from the rent period, termination terms, security deposit, renewal request, and so much more. And the claims agreed between a renter and a landlord in an oral agreement, including each intent or interest of both parties, will be written in the rent agreement letter too.

The Important Parts of a Rent Agreement Letter

What makes an effective and comprehensive document? That is something you should also prove in a rent agreement letter. And you can certainly achieve that when your letter consists of the essential rent agreement letter elements. So in this section, you will be introduced to the significant parts that make up an acceptable rent agreement letter.

Subject Title: What distinguishes your rent agreement letter from any other formal letter is its subject title. Hence, the document’s title should be “Rent Agreement Letter” to clarify the intent of the letter. And the title is normally written in all caps with a bold font to strike attention.Landlord’s Details: From the name of the landlord down to his/her/their contact information and rental address, the landlord’s details should be specified in the letter. This makes it easier to point who sent the rent agreement letter, especially when landlords are responsible to write the rent agreement letter in the first place.Tenant’s Details: Besides the property owner, the rent agreement letter should mention the receiver. And that would be the tenant’s details where the tenant’s name, physical address, phone number, and other contact lists will be jotted down in the document. Be sure to write the full legal name of the tenant for formality’s sake too.Date: Just like any letter, denote the actual date of when the rent agreement letter was written. And the complete date or schedule written there confirms how early or late the letter was established.Salutation: Part of what makes letters different from traditional agreements and contracts is how the letters sound more personal for having the salutation. So in a rent agreement letter, inserting “Dear Mr./Ms.” is acceptable. And that sense of personal touch is a great way to form a positive relationship between the landlord and the tenant right from the start.Introduction: Before you get into the specifics of your letter, a brief introductory statement is standard right after the salutation. This part is where you introduce that the letter contains all the important details about the rent agreement. This is also a good opportunity to state that you have attached the full rental agreement aside from the letter for the more detailed version of the rent agreement letter.Body: Now for the very meat of your letter comes the main body. This is where you slowly talk about the rental specifics like the month-to-month rental or lease agreement fee, security deposit, cancellation or termination terms, and others responsibilities or conditions. But since this is still a letter, presenting those details should run smoothly. So don’t simply enumerate the data. Hence, write it in a clear manner.Closing Statement: After you mentioned the important parts, concoct a proper closing statement. This part is where you summarize what the rent agreement is and insert a call-to-action message. Perhaps, you encourage the receiver or renter to sign the letter and the attached agreement and respond to the message as soon as possible.Signature Line: Finally, at the bottommost part of the letter marks the signature line. The standard is to have the name of the sender or landlord written in print with the signature affixed above the name. And for the receiver or tenant’s name, leave a blank on top of the name so they can affix their signature after reading the letter. Also, others are too detailed that positions and branding are mentioned besides the name only.

The Types of a Rent Agreement Letter

When you think of a rent agreement letter, you automatically assume that it refers to the letter between a landlord and a tenant. But rentals are not simply limited to a house, apartment, or building for rent. And to be fully introduced to the nuanced rentals, you can distinguish them according to the types of rent agreement letters.

Commercial Property Rent Agreement Letters

Besides having a house or room for residential purposes, a rent agreement can be specifically for commercial properties. A commercial property refers to any land, building, or property that is meant for profit-driven activities. And this marks the most common type of rent agreement. Hence, a commercial property rent agreement letter is the written and outlined agreement between the owners and renters of a commercial property.

Vehicle Rent Agreement Letters

From the name of this particular type, you can already guess that this rent agreement refers specifically to vehicles or automobiles for rent. And the vehicle rent agreement letter is prepared mostly by car rental companies, tour service businesses, or any other auto-driven entities that offer cars for rent. And if the renters end up damaging the rented car or any other issue, what has been stipulated under the agreement letter must follow.

Equipment Rent Agreement Letters

There are also businesses that allow tools and equipment for rent. Examples include music instruments, technological gadgets, medical equipment, and so much more. And the equipment lease or rent agreement letter states what the specific equipment is being offered and what the underlying terms and conditions are.

How to Write a Winning Rent Agreement Letter

With everything discussed about what a rent agreement letter means, why it is important, and what its specific parts and types are, you are ready enough to draft your own rent agreement letter. And, rest assured, the process is really easy when you follow these six steps to write a perfect rent agreement letter:

Step 1: Download a Sample Template that Fits Your Formatting Needs

Gone are the days you get forced to make new rent agreement letters from scratch; thanks to the sample rent agreement letter templates. From the many sample rent agreement letters listed in this article, you can maximize the use of each template by following the guidelines and just insert the necessary changes. You would likely be concerned about changing a few parts only from the rental dues, names of parties, etc. because other elements can be kept as is; hence, helping you save time and energy. But if you wish to change the layout and format of these sample documents, you are allowed to do that as well.

Step 2: Take Note of the Rent Agreement Letter’s Parts

Subject title, landlord’s details, signature line, and the like—you already know what completes a basic rent agreement letter earlier. Thus, insert each part of the letter so that you are nearly done. Fact-checking is also advised because any error could affect the agreement in the long run. If you wish to add more parts to the letter, then do so. Just as long as they are relevant to the rent agreement. And to avoid writing as if you are enumerating the parts, learn to write them in a sentence or paragraph form where the flow doesn’t sound awkward but coherent instead.

Step 3: Write the Details Succinctly

Indeed, a detailed letter of a rent agreement is good for being informative. But refrain from putting too many details which could still be simplified. The rent agreement contains a bunch of technical details from the renter’s rights, responsibilities, entitlements, and the like. So ensure that you keep the data succinct for easy understanding and to prove your point pronto. Thus, narrowing the details directly and to a minimum is standard.

Step 4: Consider Your Language

Language matters, especially when writing a letter shouldn’t sound too technical, robotic, or lifeless. Maintain a friendly tone by using simple English and getting rid of jargon. But at the same time, be friendly in a way that still brings authority. Just like an authority letter, you should be formal and business-appropriate. Otherwise, some renters might not take you seriously for being too kind or easy to manipulate. Balance the situation instead.

Step 5: Highlight the Important Parts

A tip is to highlight the significant aspects of your letter. An example is the rental payment amount, due rent notice, payment schedule, overall rental period, etc. You can do that by using bold font and capital letters. That way, those important parts will be hard to miss by anyone who reads the rent agreement letter.

Step 6: Finalize Your Letter’s Format and Design

End the process by finalizing the letter’s final design and format. That means your layout structure meets professional quality standards and that its design is enough to wow your audience. Also, the letter must be easy to follow because what matters, in the end, is that the reader can follow and understand its content seamlessly. If you think you achieved that, then print and submit the document.


How much does an apartment rental cost?

Apartment rental prices vary from how luxurious the place is, the room size, and many other factors. But as of February 2021 in the US, the average cost of an apartment rental is $1,124 a month.

What is the size of a rent agreement letter?

There is no requirement that all rent agreement letters should have a specific size. But formally, just like most legal letters, rent agreement letters measure around 8 1/2 x 11 or 8 1/2 x 14 paper.

What topics should be covered by a rent agreement letter?

Ensure that your rent agreement letter covers the terms and conditions, rent amount, rent period, party information, interests of parties, rights or entitlements, rent provisions, and the termination clause.

As a property owner, expect to deal with tough responsibilities in terms of not only earning a great amount of money from the rental but also giving what your renters want and deserve. And to make terms clear between you and your renter right from the beginning, set the relationship ahead with a rental agreement letter. This way, you can establish a harmonious understanding with each other, observe smooth tenancy transactions, and set strict rules or boundaries as well. And the best part is you can make such letters shortly using easy-to-download sample templates to your advantage. Download a sample rent agreement letter now!