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A lease agreement is a legally binding contract outlining the rights and obligations of both the tenant and landlord. Without it, landlords risk significant financial losses, including liability for property damage and challenges in collecting unpaid rent. Creating a lease agreement is straightforward and essential for avoiding disputes with tenants and addressing issues effectively. Key components of a lease agreement include details about the property, the names and contact information of all parties involved, and the basic terms of the agreement. This document serves as your primary defense in managing and protecting your property.