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A lease agreement is a crucial, legally binding contract between a landlord and tenant that outlines their respective rights and obligations. Without a lease, landlords may face significant financial risks, such as property damage and difficulties in collecting unpaid rent. A well-drafted lease helps prevent disputes and offers a primary means of protecting your property. Essential elements to include in the lease are details about the rental property, the names and contact information of parties involved, and other key terms. Understanding and creating a lease agreement is straightforward and essential for effective property management.