Which clause typically addresses a lessee’s obligation to pay utility costs?

Prepare for the Texas Real Estate Appraisal Exam. Test your knowledge with flashcards and multiple choice questions, all with hints and explanations. Pass with confidence!

The operating expenses clause is the correct choice as it specifically outlines the lessee's obligation to pay for various operating costs associated with the property, which typically includes utility costs. This clause provides clarity on the shared financial responsibilities regarding running the property, ensuring that both the lessor and lessee understand which expenses fall under the lessee's purview.

Having this clause in a lease agreement ensures that all parties are aware of ongoing expenses, including the costs for utilities such as water, electricity, and gas, which are often the responsibility of the lessee in many commercial and residential leases. This clause helps prevent disputes over utility payments by clearly specifying the obligations tied to operating expenses.

The other choices do not directly pertain to the lessee's responsibility for utility costs. The utility clause is not a commonly recognized term in lease agreements, whereas the expense stop clause relates to limits on expenses for which the landlord is responsible, and the maintenance clause typically refers to the maintenance obligations of the parties involved, without specific reference to utility payments.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy