Lease question about the Letter of Intent

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screns
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Lease question about the Letter of Intent

Post by screns » Wed, 15 Aug 2012 11:50 am

We are currently looking for places to live (in temporary accommodation right now) and of all the places we have seen, we like two equally. However, both want a Letter of Intent, and, according to our broker, this also requires a one month deposit check to go with it. So, a few questions:

1. Can someone explain exactly what goes in a Letter of Intent? Our agent has been a bit vague about it, but says basically you state how much you want to pay and what refurbishment you want the landlord to do before you move in and also what you expect to be included in the monthly cost.

2. If the landlord agrees to the terms of the Letter of Intent, are you then bound to accept the lease--what happens if we both houses agree to our Letters of Intent are we then stuck having to rent two properties--and can they then legally cash your check?

3. If they can cash your check before agreeing to the lease, and then you don't like the terms of the lease, what can you do about that?

Anything else I should ask but have omitted to ask?

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x9200
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Re: Lease question about the Letter of Intent

Post by x9200 » Fri, 17 Aug 2012 1:14 pm

screns wrote:1. Can someone explain exactly what goes in a Letter of Intent? Our

LOI is basically a memo from your "meeting" with the LL. It contains what crucial (or non-standard) to both parties to be included in the tenancy agreement (TA).

2. If the landlord agrees to the terms of the Letter of Intent, are you then bound to accept the lease--what happens if we both houses agree to our Letters of Intent are we then stuck having to rent two properties--and can they then legally cash your check?

LOI is not binding any way. It has no legal power. Only TA has this power.

3. If they can cash your check before agreeing to the lease, and then you don't like the terms of the lease, what can you do about that?

They have to pay it back to you.

Anything else I should ask but have omitted to ask?

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beppi
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Post by beppi » Fri, 17 Aug 2012 3:20 pm

LOI is an invention of property agents and only needed because their involvement prevents landlord and (prospective) tenant) from discussing directly and finding agreements directly.
I never needed one, in any of my five renting cases in Singapore so far (all without agent).

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the lynx
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Post by the lynx » Fri, 17 Aug 2012 3:23 pm

beppi wrote:LOI is an invention of property agents and only needed because their involvement prevents landlord and (prospective) tenant) from discussing directly and finding agreements directly.
I never needed one, in any of my five renting cases in Singapore so far (all without agent).
Same here. I never needed LOI and never even needed to worry about agent fees etc because I did not rely on agents for my rentals.

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Post by duckylucky » Wed, 12 Sep 2012 10:51 am

What are some good websites to find apartments? Can you talk a bit more about how you found your apartments? How did you formalize the contacts? Is there a standard contact? Thanks.

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Post by zzm9980 » Wed, 12 Sep 2012 1:05 pm

duckylucky wrote:What are some good websites to find apartments? Can you talk a bit more about how you found your apartments? How did you formalize the contacts? Is there a standard contact? Thanks.
Scroll your mouse wheel up until the page wont go any higher. You'll see a line a few CM down that says "Search Type [Apartment/Condo] District [Select District]...." You can use that to search.

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