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In this video, Rachel, a digital editor for Next Home, discusses the decision tenants must make between signing a one-year lease or opting for a month-to-month rental agreement. She presents the pros and cons of both options to assist viewers in determining which rental agreement best suits their needs. Rachel explains that a rental agreement is a written contract between the property owner and tenant, detailing rental terms such as party names, property address, rental amount, and tenancy length. She introduces two types of agreements: month-to-month tenancies, which have no fixed end date and renew automatically, and fixed-term leases.