Montana Property Management Practice Exam 2025 - Free Property Management Practice Questions and Study Guide

In Montana, a verbal rental agreement can be legally binding, but it is strongly recommended to document agreements in writing. This approach is beneficial for both landlords and tenants as it provides a clear reference point that can help prevent misunderstandings or disputes in the future. Written agreements typically clarify terms such as rental amounts, duration of lease, responsibilities for maintenance, and other important details that are crucial for a successful landlord-tenant relationship.

While verbal agreements can be enforceable, the complexity of rental situations often leads to confusion. Having a written agreement helps ensure that all parties are on the same page regarding their rights and obligations. It also provides a formal record that can be useful in legal proceedings if necessary. Thus, while a verbal agreement could be considered valid under the law, the recommendation for a written document stands to safeguard the interests of both parties involved in the rental agreement.