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A lease agreement is a legally binding contract outlining the rights and obligations of both landlords and tenants. Without one, landlords risk significant financial losses, potential property damage, and challenges in collecting unpaid rent. Creating a lease agreement is straightforward and essential for effective management. It helps prevent disputes and provides a framework for resolution if issues arise. Key elements of a lease agreement should include details about the property being rented, names, and contact information of involved parties. Understanding these basics equips landlords to effectively protect their interests and operate as proficient landlords.