Under a rental agreement, the free owner (the owner of the land or the property) gives a tenant permission to take possession of the property for a specified period of time. This could be between 21 and 999 years of age and during this period, the tenant pays a basic rent to the free landlord. Rental rights holders rent property primarily for the initial premium paid by the original tenant for the granting of the lease; but in addition, the basic rent (often symbolic) is due in the long term, which can be an attractive fixed income investment for certain types of investors.  The last penalty available to a landlord subject to exposure to a tenant who violates the tenancy agreement because service charges, basic rents or administrative costs are not paid is to re-enter the rental contract and repossess the house or apartment. To do so, the owner must first provide a valid notification in accordance with Section 146 of the Property Act 1925 – disclosure on the property application. However, the lessor cannot issue a section 146 notification if the amount of service, administrative or basic rent due (or a combination of all of these fees) is not served, unless the outstanding amount exceeds $350 or consists of an amount that has been outstanding for more than three years.  Although the basic leasing system was not used in New York, state courts have recognized similar leases or indeterminate leases. An act that establishes a basic rent regime could indicate that it will last ninety-nine years, but since most contracts are automatically renewable, basic rents can last forever. The IRS allows you to deduct the cost of periodic basic rent payments in the form of mortgage interest if the lease meets certain conditions. For example, your basic lease must be more than 15 years old and you must have the right to purchase all the owner`s interest in the land at a specified price. Despite the irregularity of the basic rental right, many of the same provisions apply to ordinary renter-tenant relationships. If the rent is paid, the basic tenant receives a payment on the land he owns and, in return, the tenant (owner) continues to justify his apartment on the land.