Rental laws are the laws regularized by the government of India and the state governments in order to govern the rental value of residential and commercial properties. These laws are essential to impose individual civil rights of both landlord and renter and precaution from any kind of deception.
The transactions in Indian real estate sector are governed by various laws as the real estate scene in India is blemished by a lot of land market aberrations. The common ones include inflexible zoning, rent and tenancy laws. The zoning laws, rent controls and protected tenancies have been damaging to the healthy rental trends in India. Then government decided to bring rent control Act in order to protect the rights of tenants as well as of landlords.
Rent Control Act Rent Control Act, was an attempt by the Government of India to ensure that the renters may not be exploited by landlords. It is tempted towards providing adequate rent to landlords and protection of renters against dispossession. The central government proposed a model rent control legislation for all states and provinces.
Rent Agreement The rent agreement is a legal agreement completed, signed, and dated by the landlord and tenant. It includes the terms and conditions subject to which the property has been leased by the lessor to the lessee.
The rent agreement plays a crucial role in deciding the rights of the lessee and the lessor. Prior to a rent agreement with the landlord, the tenant should ensure that the lessor has the proper title of property. He should either be the owner of the property or an authorized power of attorney holder.
Common terms included in a rent agreement:
- Detail information of the lessor (landlord) and the lessee (renter) and their addresses.
- The location and the identification details of the property to be leased.
- Term of the lease
- Security deposit amount
- Monthly rentals
- Effective date of beginning of the rent agreement
- Duration of rent
- Rent increment clause and the rates
- Facilities to be included in the rent
- Details of access to terrace rights
- Routine repair and maintenance expenses of the house
- Duration of the notice period required for termination of the lease
- Maintenance charges to be paid to the society