Which best describes a lease agreement?

A lease agreement serves as a legally binding contract between a landlord and a tenant. This relationship is fundamental to leasing arrangements, as it outlines the terms under which the tenant can occupy the property owned by the landlord. Key elements typically covered in a lease agreement include the duration of the lease, rent amount, payment schedules, and responsibilities of both parties regarding maintenance and repairs.

This understanding is crucial because it establishes the rights and obligations of each party, ensuring that both the landlord and tenant have a clear framework to adhere to throughout the lease term. The absence of one party could compromise the integrity of the lease agreement, making the relationship between the landlord and tenant pivotal to its effectiveness.

In contrast, the other answer choices reference relationships or scenarios that do not correctly define the lease agreement itself. For example, involving a listing licensee or a buyer licensee does not accurately reflect the primary purpose of the lease, which is to establish the tenant's rights regarding the property managed or owned by the landlord.