A lease is basically a type of rent that is characterized for, unlike the common rent, offering the possibility to acquire the property of the rented asset in exchange for a monetary amount at the end of the contract.
A lease is a financial term for the contract by which two individuals or group of individuals come to an agreement to transfer the right of property in exchange for rents for a certain period of time. At the end of the leasing, the client may pay a purchase price for the good, returning good or renew the contract.
In a lease, normally 2 parties interact: the lessor and the lessee.
- Lessor: The owner of the property. They transfer the rights to use the property owned in exchange for a series of payments.
- Lessee: The beneficiary who uses the leased asset. They must make payments to use the rented good.
This type of contract is mainly used in the business world for office buildings, and becoming more common to do in personal transactions, like leasinga car.