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A lease agreement is a legally binding contract that outlines the rights and responsibilities of both the landlord and tenant. Without a lease, landlords risk significant financial losses, including issues like property damage and difficulties in collecting unpaid rent. A well-crafted lease agreement serves as a protective measure, helping to prevent disputes and address problems effectively. Essential elements to include in a lease agreement are the property details and the names and contact information of the parties involved. Understanding these basics can help landlords manage their properties more effectively and avoid potential legal issues.