A verbal lease agreement is an oral contract. This is a legally binding contract between the tenant(s) and the landlord(s). It is made up of conversations on how much the rent is, when it is due, and other conversations concerning the rental process. Although verbal lease agreements are easy and straightforward, they have many drawbacks. Verbal lease agreements can easily be manipulated by one of the involved parties because there is no written document to reference. The terms may become unclear and the details blurry because there is no hard copy to refer to in the case of a misunderstanding. Therefore while a verbal lease agreement is legally binding in all provinces, it is strongly advised that you opt for written lease agreements and specify so on your rental application form.