Guide for landlords

Tenant management in Lithuania: from the lease to the deposit back

A fixed-term residential lease must be in writing (Civil Code art. 6.579(3)), rent is paid monthly, and a lease is ended only through a court (art. 6.610). This guide goes through the whole tenancy and names the article of the Civil Code at each step.

· Written by the AxiRent team

What must the lease look like?

A fixed-term residential lease must be in writing whoever the parties are; between private persons a lease may also be oral (art. 6.579(2) and (3)). The lease must state the rent, when it is paid and how utilities are settled (art. 6.580(1)).

A lease holds against third parties only if it is registered in a public register: if the flat is sold, the lease binds the new owner only if it was registered (art. 6.579(4) and 6.585).

How do you hand the flat over?

The landlord must hand over a vacant flat fit to live in (art. 6.587(1)). The residential lease chapter does not require a handover report, but the deposit is settled against one later, so record the state of the flat.

  1. Dated photos of every room, especially walls, floors and furniture.
  2. Every meter reading on the day of move-in.
  3. A list of furniture and appliances and their condition.
  4. The number of keys.
  5. Both parties' signatures.

When and how is rent paid?

Unless agreed otherwise, rent is paid monthly, by the 20th of the following month (art. 6.583(2)). Only the first month's rent may be asked in advance (art. 6.583(5)), and when a private person lets a flat on commercial terms, water, energy and utilities are settled by agreement (art. 6.584(3)).

Lease terms that set penalties above the landlord's real loss are void (art. 6.587(5)). What to do when rent is late is in the guide on what to do when a tenant does not pay rent.

Who does the repairs?

The tenant does routine repairs of the flat unless the lease says otherwise (art. 6.605(2)). The landlord must make sure the building's common property and utility equipment are repaired (art. 6.587(6)).

The residential lease chapter has no rule on who does capital repairs of the flat; the general lease rule puts them on the landlord unless the law or the lease says otherwise (art. 6.492(1)), so write it into the lease. If the tenant has to move out during the works, that is agreed between the parties, with at least 14 days' notice of the works (art. 6.606(5)).

How is the rent reviewed?

Rent may be recalculated at most once a year, and only if the lease provides for it (art. 6.583(6)); at renewal, new terms must be given in writing in advance (art. 6.607(4)). More in how and when rent can be increased in Lithuania.

Can the tenant sublet?

Only with the written consent of the landlord and the family members who live there (art. 6.595(1)), and the tenant answers to the landlord for temporary residents (art. 6.596(2)). What this means for Airbnb is in the guide to subletting and Airbnb in Lithuania.

How is a lease renewed, and how does it end?

A tenant who kept to the lease has a first right to renew it for the same term, or for 12 months if the term was longer, unless agreed otherwise (art. 6.607(1)). At least three months before the end, the landlord offers a new lease in writing or says it will not be renewed, which he may do only if the flat will not be let for at least a year; without that notice, and unless the tenant declines, the lease is renewed on the same terms (art. 6.607(2)).

The tenant may end the lease with one month's written notice (art. 6.609(1)). After that notice, the landlord may inspect the flat and show it to a future tenant with advance notice, but not between 21:00 and 9:00 except in an emergency (art. 6.609(4)).

An open-ended lease on commercial terms can be ended by the landlord with six months' written notice (art. 6.614(1)). For the tenant's fault, such as at least three months of unpaid rent, a lease can be ended and the tenant evicted only through a court (art. 6.610 and 6.611).

How is the deposit settled?

The Civil Code's residential lease chapter has no deposit rules: no cap and no deadline for returning it. So write into the lease the amount, what it covers, when it is returned and how deductions are shown.

At move-out, compare the flat with the move-in report. The general lease rule requires a thing to be returned in the state it was received, allowing for normal wear (art. 6.499(1)), so deduct for damage, not for ordinary wear, and back every deduction with a photo or an invoice.

How does AxiRent do it?

AxiRent keeps the whole tenancy in one record: the lease is signed in the browser, the handover act collects the photos, readings and signatures, invoices and reminders go out on their own, and at move-out the deposit is settled against the report line by line. More on long-term rentals.

Sources

This is general information, not legal advice. For a specific dispute, talk to a lawyer. The official texts of the law are in Lithuanian.

Common questions

Does a lease have to be in writing?

A fixed-term one does, whoever the parties are (art. 6.579(3)). Between private persons a lease may be oral (art. 6.579(2)), but a written one is easier to prove.

How much notice must a tenant give?

One month, in writing (art. 6.609(1)). Without it, the landlord may claim the loss caused.

Does the law cap the deposit?

No: the residential lease chapter has no deposit rules, so the amount, its purpose and the return deadline are agreed in the lease. Rent in advance may be asked only for the first month (art. 6.583(5)).

Who does routine repairs?

The tenant, unless the lease says otherwise (art. 6.605(2)).

Rent day without the spreadsheet

One property free, with no card and no time limit.

UAB “Terra IT”, Kaunas, Lithuaniainfo@axirent.com+370 600 06 265Mon–Fri 9:00–18:00 (Vilnius time)