Contract of Lease (Residential)

CONTRACT OF LEASE

(Residential)

KNOW ALL PERSONS BY THESE PRESENTS:

This Contract of Lease is made and entered into at [CITY/MUNICIPALITY], Philippines, this [DAY] day of [MONTH] 2026, by and between:

[FULL NAME OF LESSOR], of legal age, [CIVIL STATUS], [CITIZENSHIP], with residence and postal address at [ADDRESS] (the "LESSOR");

— and —

[FULL NAME OF LESSEE], of legal age, [CIVIL STATUS], [CITIZENSHIP], with residence and postal address at [ADDRESS] (the "LESSEE").

WITNESSETH: That the LESSOR is the owner of [HOUSE AND LOT/CONDOMINIUM UNIT NO. [UNIT] OF [BUILDING]] located at [COMPLETE ADDRESS], covered by [TCT/CCT] No. [NUMBER] (the "Premises"), and the LESSEE wishes to lease the Premises for residential purposes. The parties therefore agree as follows:

1. Term. The lease is for a period of [NUMBER] ([NUMBER]) [YEAR/YEARS], from [START DATE] to [END DATE]. It may be renewed only by a written agreement signed at least [SIXTY (60)] days before it expires. If the LESSEE stays after expiry with the LESSOR’s acquiescence, the lease continues on a month-to-month basis only.

2. Rent. The monthly rent is [AMOUNT IN WORDS] PESOS (PHP [AMOUNT]), payable in advance on or before the [DAY] day of each month by [CASH AGAINST RECEIPT/BANK DEPOSIT TO [ACCOUNT]/POST-DATED CHECKS]. Late payments bear a penalty of [RATE]% per month.

3. Advance and deposit. On signing, the LESSEE pays [ONE (1)] month advance rent, to be applied to the [FIRST/LAST] month, and a security deposit of [TWO (2)] months’ rent. The deposit shall not be applied to rent. It shall be returned within [THIRTY (30)] days after the LESSEE surrenders the Premises, less unpaid rent, utilities and the cost of repairing damage beyond ordinary wear and tear, with an itemized statement.

4. Rent adjustment. Starting the second year, the rent shall increase by [RATE]% per year, but never beyond the maximum allowed by rent control rules if the Premises are covered by them.

5. Utilities and dues. Electricity, water, internet, telephone, garbage fees and [ASSOCIATION DUES] are for the account of the LESSEE. Real property tax on the Premises is for the account of the LESSOR.

6. Use. The Premises shall be used solely as a residence of the LESSEE and [NAMES OF OTHER OCCUPANTS], not exceeding [NUMBER] persons. The LESSEE shall not use or allow the Premises to be used for any unlawful purpose, shall not keep hazardous materials there, and shall observe the rules of the [HOMEOWNERS’/CONDOMINIUM] association. Pets are [ALLOWED/NOT ALLOWED].

7. Sublease and assignment. The LESSEE shall not sublease the Premises, in whole or in part, nor assign this lease, without the LESSOR’s prior written consent.

8. Repairs. The LESSOR shall make the necessary repairs to keep the Premises fit for residential use. The LESSEE shall make minor repairs and pay for damage caused by the LESSEE, the occupants or their guests, and shall notify the LESSOR promptly of any urgent repair needed.

9. Improvements. The LESSEE shall make no structural alteration or improvement without the LESSOR’s written consent. Improvements that cannot be removed without damage belong to the LESSOR at the end of the lease, without reimbursement [UNLESS OTHERWISE AGREED IN WRITING].

10. Inspection. The LESSOR may inspect the Premises at reasonable hours after at least [TWENTY-FOUR (24)] hours’ notice, except in emergencies.

11. Default. If the LESSEE fails to pay rent for [NUMBER] months or violates any term of this Contract, the LESSOR may terminate this Contract by written notice and demand that the LESSEE pay and vacate within the period required by law, and may then file the proper action, without prejudice to damages.

12. Pre-termination. Either party may pre-terminate this lease with [SIXTY (60)] days’ written notice. If the LESSEE pre-terminates without cause, [AMOUNT/NUMBER OF MONTHS] of the deposit shall be forfeited as liquidated damages.

13. Surrender. At the end of the lease, the LESSEE shall return the Premises and the furnishings listed in Annex "A" in the same condition as received, ordinary wear and tear excepted, and with all keys.

14. Sale of the Premises. If the Premises are sold, the LESSOR shall inform the buyer of this lease and shall give the LESSEE written notice of the sale.

15. Notices. Notices shall be in writing and sent to the addresses stated above [AND TO THE E-MAIL ADDRESSES: [E-MAIL OF LESSOR]; [E-MAIL OF LESSEE]].

16. Disputes. The parties shall first try to settle any dispute amicably, including through barangay conciliation where required. Venue of any action shall be the proper court of [CITY/MUNICIPALITY WHERE THE PREMISES ARE LOCATED].

17. Entire agreement. This Contract, with its annexes, is the entire agreement of the parties and may be amended only in writing. If any provision is held invalid, the others remain in force.

IN WITNESS WHEREOF, the parties have signed this Contract on the date and at the place first above written. ______________________________ [FULL NAME OF LESSOR] LESSOR ______________________________ [FULL NAME OF LESSEE] LESSEE

SIGNED IN THE PRESENCE OF: ______________________________ [FULL NAME OF WITNESS 1] Witness ______________________________ [FULL NAME OF WITNESS 2] Witness

ACKNOWLEDGMENT REPUBLIC OF THE PHILIPPINES)CITY/MUNICIPALITY OF [CITY/MUNICIPALITY])S.S.

BEFORE ME, a Notary Public for and in [CITY/PROVINCE], Philippines, this [DAY] day of [MONTH] 2026, personally appeared the following, each of whom exhibited to me competent evidence of identity bearing his or her photograph and signature: NameCompetent Evidence of Identity (type and number)Date / Place of Issue; Expiry[FULL NAME OF LESSOR][ID TYPE] No. [ID NUMBER][DATE OF ISSUE] / [PLACE]; [EXPIRY][FULL NAME OF LESSEE][ID TYPE] No. [ID NUMBER][DATE OF ISSUE] / [PLACE]; [EXPIRY]

known to me, or identified by me through the competent evidence of identity stated above, to be the same persons who signed the foregoing Contract of Lease in my presence, and who acknowledged to me that they signed it voluntarily for the purposes stated therein and that it is their free and voluntary act and deed. This Contract of Lease, consisting of [NUMBER] ([NUMBER IN FIGURES]) pages, including the page on which this acknowledgment is written, including Annex "A", has been signed by the parties and their instrumental witnesses on the left margin of each and every page and on the signature page. WITNESS MY HAND AND NOTARIAL SEAL on the date and at the place first above written. Doc. No. ______; Page No. ______; Book No. ______; Series of 2026. __________________________________ [FULL NAME OF NOTARY PUBLIC] Notary Public for [CITY/PROVINCE] Notarial Commission No. [NUMBER] Commission valid until December 31, [YEAR] Roll of Attorneys No. [NUMBER] PTR No. [NUMBER]; [DATE]; [PLACE OF ISSUE] IBP No. [NUMBER]; [DATE]; [CHAPTER] MCLE Compliance No. [NUMBER]; [DATE] Office: [OFFICE ADDRESS OF NOTARY]

ANNEX "A" — INVENTORY OF FURNISHINGS AND CONDITION OF PREMISES

No. Item / Area Qty Condition at move-in Condition at move-out

______________________________ [FULL NAME OF LESSOR] LESSOR ______________________________ [FULL NAME OF LESSEE] LESSEE

DRAFTING NOTES FOR THE LAWYER — delete this page before printing

• Basis: Civil Code, Arts. 1642–1688 (lease of things), esp. Arts. 1650 (sublease unless expressly prohibited), 1654 and 1657 (obligations), 1663 (urgent repairs), 1670 (implied new lease), 1673 (judicial ejectment grounds), 1676 (sale of leased property), 1678 (improvements), 1687 (period when not fixed).

• Rent Control Act of 2009, R.A. No. 9653: for covered units, not more than one month advance rent and two months deposit; the deposit is kept in a bank and its interest returned to the lessee; grounds for ejectment are limited (e.g., three months’ arrears). Coverage and the annual increase cap are set by the National Human Settlements Board — NHSB Resolution No. 2024-01 reportedly caps increases at 2.3% (2025) and 1% (2026) for units at or below PHP 10,000/month. Check the current resolution.

• Ejectment: Rules of Court, Rule 70 (demand to pay and vacate: 15 days for land, 5 days for buildings). Barangay conciliation: Local Government Code, Secs. 399–422.

• Taxes: DST on leases (NIRC Sec. 194); if the lessee is a withholding agent, expanded withholding tax on rent applies; the lessor issues invoices if registered.

• Notarial act: acknowledgment. Notarization is not required for validity between the parties, but it makes the lease a public document and is needed for annotation on the title.

Field labels in [SQUARE BRACKETS, CAPITALS] must be completed or deleted. Alternatives are separated by a slash (e.g., [HIS/HER]). © Layers (layers.md), licensed under CC BY 4.0 (https://creativecommons.org/licenses/by/4.0/). You may adapt and reuse this template with attribution. Template — review by a Philippine lawyer before use. Not legal advice.

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