LEASE SUM Meaning and
Definition
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Lease sum refers to the total amount of money required by an individual or a business entity to secure and maintain a lease agreement. It is the financial commitment made by the lessee, the party seeking the lease, to the lessor, the owner or landlord of the property being leased.
The lease sum encompasses various costs associated with leasing a property and is typically calculated by adding several components. These components may include the initial security deposit required by the lessor, which serves as a protection against potential damages or breaches of the lease terms. Additionally, it may include the first month's rent payment, which is often paid in advance before the lessee moves into the property.
Other charges that can contribute to the lease sum might include fees for credit checks, application processing, or background checks, which are often necessary to evaluate the financial and personal background of the lessee. Furthermore, some lease agreements may even require prepaid rent for several months or additional fees such as insurance costs or maintenance expenses.
The lease sum is an essential consideration for both the lessor and the lessee when entering into a lease agreement. It ensures that the lessor receives the necessary financial assurance and compensation for renting out their property, while the lessee understands the upfront costs associated with obtaining and maintaining the lease.
Common Misspellings for LEASE SUM
- kease sum
- pease sum
- oease sum
- lwase sum
- lsase sum
- ldase sum
- lrase sum
- l4ase sum
- l3ase sum
- lezse sum
- lesse sum
- lewse sum
- leqse sum
- leaae sum
- leaze sum
- leaxe sum
- leade sum
- leaee sum
- leawe sum
- leasw sum
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