In a graduated rental lease, what happens to the rent over time?

In a graduated rental lease, the rent is structured to increase gradually over time. This type of lease allows landlords to set predetermined rent increases that can occur at specific intervals, often annually. The gradual increase can help both landlords and tenants plan their finances, as it provides clarity on future rental costs. For landlords, this can ensure that rental income keeps pace with inflation and market trends, while tenants are able to anticipate and prepare for future rental expenses.

This predictable increase can be beneficial for tenants who are seeking stability in their housing costs over a longer commitment, knowing what their rent will be in subsequent years without sudden hikes.