Not Navigating Leasing Agreements in San Francisco

What Is a Leasing Agreement?

A leasing agreement is a contract between a landlord and tenant that defines the terms and conditions of renting a property. It outlines key elements such as rent amount, payment methods, rules for property use, and other specific agreements like parking or pet policies.

In San Francisco, leasing agreements are subject to strict local and state laws. Some essential points include:

• Written Lease Requirements: Landlords must provide tenants with a copy of the written lease within 15 days of signing. If requested, an updated copy must be provided annually.
• Disclosure Obligations: Landlords must disclose their contact information and designate who is responsible for receiving rent and notices. They must also specify acceptable payment methods. Cash cannot be the sole payment option unless the tenant has bounced a check in the prior three months.
• Terms of Rent Payment: Lease agreements often specify the due date for rent and any applicable grace periods.
• Conversion to Month-to-Month: When a fixed-term lease ends, it generally converts to a month-to-month tenancy unless either party chooses to terminate the agreement.

Pet-related provisions may also be included in a lease. In California, landlords may charge pet rent, but they cannot discriminate against tenants with service animals or emotional support animals, as these are not legally considered pets. Service and support animals are exempt from pet rent or deposits under federal and state fair housing laws.

A breach of the lease, such as failing to pay rent or violating terms, can result in eviction under San Francisco’s Rent Ordinance. Legal advice is often recommended in disputes since the Rent Board cannot provide direct guidance on lease issues.

Here’s an overview of the most common leasing agreements in San Francisco:

Fixed-Term Leases

Fixed-term leases are the most traditional type of rental agreement. They typically last for a set duration, usually 12 months. During this period, the rent amount is locked in, providing tenants with stability and landlords with predictable income. However, breaking a fixed-term lease early often comes with penalties or fees.

These leases are ideal for tenants seeking long-term housing and landlords who prefer guaranteed occupancy for a specific period.

Month-to-Month Agreements

Month-to-month agreements offer more flexibility than fixed-term leases. These contracts automatically renew each month unless either party gives proper notice, usually 30 days, to terminate the arrangement. This flexibility makes them popular for tenants who may need to move on short notice or landlords who prefer the option to adjust rent frequently.

It’s important to note that in San Francisco, even month-to-month tenants are often covered by the city’s strong eviction protections, requiring landlords to have a valid reason for termination.

Short-Term Leases

Short-term leases are designed for temporary housing needs, typically lasting less than six months. These agreements are common for corporate housing, individuals in transitional life phases, or those exploring the city before committing to a long-term lease.

While short-term leases offer convenience, they often come with higher rent due to the flexibility they provide.

Sublease Agreements

A sublease occurs when a tenant rents out their unit, or a portion of it, to another person while maintaining responsibility for the lease terms. Subleases are useful for tenants who need to vacate their rental temporarily but want to avoid breaking their lease.

Subleasing often requires landlord approval, so tenants should review their original lease carefully before entering into such an arrangement.

Corporate Leases

Corporate leases are signed by companies to provide housing for employees. These agreements are common for businesses relocating staff to San Francisco or accommodating temporary work assignments. Corporate leases often come with premium rents but include flexible terms to meet corporate needs.



Roommate Agreements

While not a traditional lease, roommate agreements are common in shared living situations. They establish expectations between co-tenants, including how rent and utilities will be divided and house rules for shared spaces.

A roommate agreement is a valuable tool to reduce potential conflicts and ensure clarity among all parties sharing a rental.