Rents

Rents are payments by a tenant to a landlord for the use of land or property under a lease. The term covers residential, commercial, and sometimes equipment leases. Rent is usually paid at regular intervals and defined by a lease that specifies duration, deposits, maintenance responsibilities, and who pays utilities. The rent level results from market negotiation and legal terms and represents the owner’s income and the user’s occupancy cost.

Residential rents are the most common form and depend on location, size, quality, and neighborhood demand. Commercial rents often include base rent plus operating expenses and may feature escalators. Rents can be quoted as gross rent (including some services) or net rent (excluding them). Leases may be fixed, renewable, or indexed to inflation or other indices.

Rents respond to supply and demand, construction activity, financing conditions, demographics, and regulation. Vacancy rates, lease length, and tenant credit influence pricing. Inflation, interest rates, and mortgage costs can push rents higher. Policies such as rent control or stabilization can limit increases but may affect supply and investment decisions.

In economics, rent can also mean economic rent—the income earned above a resource's opportunity cost. Governments monitor rents for affordability and may use taxation, subsidies, or zoning to influence the market. The topic highlights trade-offs between affordability, housing quality, and investment.