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04 Sep. 2024

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How to draw up a lease agreement in Ukraine: a guide for Ukrainians and foreigners

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How to draw up a lease agreement in Ukraine: a guide for Ukrainians and foreigners

At the moment, many Ukrainians are forced to travel between cities. The transfer of foreigners to Ukraine has decreased since 2022, but remains stable for now. In order to reside legally, it is necessary to conclude a lease agreement. Find out about all the peculiarities of this process, including its legal basis and practical advice

Legal advice on buying and registering real estate in Ukraine
Legal advice on buying and registering real estate in Ukraine
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At the moment, many Ukrainians are forced to change their place of residence frequently. Unfortunately, it is not only about tourist destinations, but also about forced relocations from the eastern regions. At the same time, the flow of foreigners working in Ukraine, doing business here or simply travelling remains stable. It is now important to legally record your stay in a particular territory to protect yourself from fraud and other unpleasant incidents. In this case, a lease agreement is the best option. Read this article to find out how it is concluded, what it is for, what risks it eliminates and what conditions it requires.

What is a contract and why is it needed?


A contract is an agreement between two or more parties to establish, change or terminate certain obligations. Each party has certain rights and obligations. A contract is always based on a certain action, but only a lawful one. If the action in the agreement violates applicable law, the agreement is not valid.

Advantages of concluding a contract


- the parties can control each other;

- the agreement is drawn up in writing, so everything can be covered;

- the parties can amend the agreement at will;

- unforeseen circumstances (force majeure) can be included in the agreement;

- the agreement guarantees the protection of your rights if you have to go to court.

Please note: Contracts and additional agreements are signed in two copies, one for each party.

This issue is especially relevant for foreigners who have no experience in renting apartments or houses in Ukraine. Readmore about how a foreigner can rent an apartment in Ukraine in this article.

How is the lease term determined?


The lease term is one of the main elements in determining the lease obligation. At the moment, it is traditional in Ukraine to conclude a 1-year lease with a possibility of extension. If you want to extend or terminate the lease, such an agreement should be entered into approximately one month before the end of the lease term. It is important to specify in the agreement the possibility of early termination of the agreement, but the entire list of possible reasons is not specified in the agreement. Such a lease is considered a long-term lease and is concluded if a person plans to live in one place for a long time.

Short-term leases are for up to 12 months. Usually, a short-term lease is considered to be a lease for a few hours, a day or a few days. Hotels and hostels operate on this principle. In this case, you can make a reservation both online and directly at the rental location. It is worth noting that a short-term lease is not considered to be a lease that provides for the possibility of buying out the property.

In the case of short-term (daily) leases, the agreement may be terminated early at the initiative of both parties, and the payment for the lease extension is individual for each Landlord.

Please note! In most cases, tenants and landlords seek the assistance of intermediaries who verify both parties, assist in concluding the agreement, monitor the lease process and compliance with the terms of the agreement.

In order to cooperate through an intermediary, it is necessary to enter into a service agreement with it. Accordingly, in this case, one lease process will involve the conclusion of two agreements - between the Tenant and the Landlord and with the intermediary.

Be sure to keep your copy of the agreement!


You can learn about these and other legal nuances from Visit Ukraine's real estate specialists. They will be able to provide expert support in concluding these agreements, as well as if the agreement provides for the possible purchase of real estate.


What are the main elements of a contract?


The agreement is divided into several parts and has the following typical sections: parties to the agreement (the Lessee and the Lessor), subject matter of the agreement, rights and obligations of the parties, price of the agreement, penalties, terms of the agreement and additional terms.

The details of both parties should be included in a separate paragraph:

- Full name;

- Individual tax number (for individuals) or EDRPOU (for legal entities);

- Passport details;

- Registered address;

- Account number and name of the bank where the account is opened;

- Name and signature of both parties

A sample of a typical lease agreement can be downloaded here.


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Do I need to register a residential lease agreement?


In accordance with Part 1 of Article 811 of the Civil Code of Ukraine, the agreement must be concluded in writing. Notarisation is not mandatory, but may be required at the request of one of the parties. To do this, the relevant requirement must be specified in the contract in the paragraph ‘Rights and obligations of the parties’. If we are talking about a reservation (short-term lease), then, of course, the agreement will be registered in the hotel's accounting book and an individual room will be assigned to the guest.

Earlier we said that Ukrainians will be able to use social rent. The specifics of the new housing policy are currently being developed. Read more in the article.

What documents do I need to prepare to enter into an agreement?


- Passport and identification code of the homeowner and tenant (for both parties);

- a foreign passport (for a foreign tenant);

- documents confirming the ownership of the property (for the Landlord);

- a certificate from the housing office listing all persons registered at the address (for the Landlord);

- a document confirming the consent of all apartment owners to the lease (for the Landlord).

What is a property transfer and acceptance certificate and why is it needed?


An apartment lease acceptance certificate is a legal document that confirms the transfer of property from the owner (landlord) to the tenant and determines the condition of the property at the time of transfer. At the end of the lease term, the availability and condition of the property is verified. The transfer and acceptance certificate should be treated with great responsibility, as it is your money for possible lost items and their repair.

Housing for Ukrainians is now becoming more affordable with the eOselya programme: in August, the Cabinet of Ministers of Ukraine made appropriate changes to the lending process. Read the details here.

Häufig

gestellte Fragen

What is an contract ?

A contract is an agreement between two or more parties to establish, change or terminate certain obligations. Each party has certain rights and obligations.

Can a contract violate applicable law?

Why is it necessary to conclude an agreement?

How many copies of the agreement are signed?

What is a short-term lease?

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