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A lease agreement is a legally binding contract detailing the rights and obligations of both landlords and tenants. Without one, landlords risk significant financial losses, including difficulty in collecting unpaid rent and potential liability for property damage. A well-crafted lease helps prevent disputes and serves as a crucial tool for addressing issues that arise. Key elements to include in a lease agreement are the property details, the names and contact information of both parties, and essential terms of the rental arrangement. Understanding these basics will enable landlords to effectively manage their properties and protect their interests.