What it is:
How it works/Example:
Landlords may own either residential or commercial properties. They lease the properties to families or companies in return for monthly rent. As the owning party, a landlord's obligations include structural maintenance and repairs as well as property tax payments (typically built into the rent).
For example, suppose Bob owns a three-bedroom apartment that he chooses to lease for rent. A family enters into a lease contract with Bob, the landlord. The family agrees to pay him $1,000 each month for a specific length of time (usually one year) in return for the right to live in the apartment.