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A lease agreement is a legally binding contract that outlines the rights and obligations of both the tenant and landlord, essential for protecting property and finances. Without it, landlords risk losing money, face challenges in collecting unpaid rent, and could be held liable for property damage. A well-crafted lease helps to prevent disputes and provides a framework for resolving issues. Key components of a lease should include the property being rented, names and contact information of the parties involved, and other essential terms. Creating a lease agreement is straightforward and crucial for effective property management.