Nicaragua Property Leases – Residential

Let's get into understanding residential rental agreements. As Nicaragua is becoming a travel destination for many people, foreigners are needing to get a glimpse into figuring how to go about renting properties. In Nicaragua, the whole process is based on Article 2810C. Leasing involves the Lessor and the Lessee which decide to do business and work out a price.

To clarify, the 'Lessor' is the person leasing the property and the 'Lessee' is person renting the property. In general the longest period that the leasing contract can be effective for is ten years. The Lessor is responsible for different aspects of the property such as repairs and allowing the Lessee to use the property for his wishes. The Lessee can also lease to a third party for for any part(s) of the property.

In general the insurance and additional payments for maintenance, utilities, and repair costs that may incur during the lease must be agreed by both parties before making the contract active.

Rights and Obligations:
• The property must be provided by the Lessor with acceptable living conditions and safety.
• The Lessee must do the best for proper upkeep and make sure the property remains in received condition including repairs.
• The Lessor must not limit the use of the Lessee as long as it is within contract terms. Lessor also must respond to repair requests.
• The Lessor has to deliver on the promise the use and enjoyment of the property for the whole term.
• The Lessor must see that the property is ready upon time agreed.

The 'Lessor' CANNOT do any of these during the contract:
• Change the terms and rules stated in the contract.
• Invade the property ground except for urgent matters.

If these conditions are violated, the Lessee may end the contract or solve any problems in court.

Here are your Rights and Obligations and a Lessee
• You are to make sure to submit rent fees on time.
• You are to tell the Lessor of any damages or the Lessor is not responsible to pay for them.
• To make sure that you use the property on the terms of the contract.
• Make sure all rental fees are paid in within contract terms
• If circumstances result in the Lessee being unable to pay rental dues, he can withhold rental dues until the circumstances are solved.
• To maintain good condition of the property.
• At the end of the term, return the property is in the same condition as received.

Rental Agreements may be dissolved on these conditions:
• If the death of either parties occur
• The contract was amicably completed by both parties
• If there is an agreement reached to end it
• By the contract being made null
• If the problem cannot solve itself
• Heavy damage or the loss of the property by unforeseen situations.
• If the property is sold by the government

The Lessor can end the leasing contract if:

* The Lessee doesn't pay the rental fees
* The agreed time for payment isn't adhered to
* The terms of using the property has been broken
* The Lessee creates damage that has a big impact on the property
* The property undergoes major changes without permission

The Lessee may dissolve the contract terms if:

* There property was already in bad shape and is not in suitable condition to rent
* Problems that were hidden before the contract shows up

Because Nicaragua is a very popular travel area, the country's economy relies on leases. If you're looking to lease a property here, you'll find out that the location, size, and additional inclusions has an impact on the price.