Rental agreements typically require a monetary guarantee, a sum held by the landlord to cover potential damages beyond normal wear and tear or unpaid rent. This sum varies depending on factors such as local regulations, property type, market conditions, and the applicant’s creditworthiness. For example, a furnished apartment in a high-demand area might require a higher amount than an unfurnished unit in a less competitive market.
This practice protects landlords from financial losses while incentivizing tenants to maintain the property responsibly. It provides a layer of financial security for both parties involved in the lease agreement. Historically, such guarantees have been a common feature of tenancy agreements, evolving alongside property laws to ensure fair and balanced arrangements.
