Here is the format of the rental contract used in India – you can order a lease on NotaireCart on the following modes: Traditional stamp paper Format currently used Telangana, Andhra Pradesh both: Note here that notarized leases are not the same as registered documents. In the event of a dispute between the landlord and the tenant, the court will not accept a notarized agreement as proof. It is therefore important to register the rental agreement correctly. Click here to check the format of a rental agreement in English. See also: Compromise clause in leases and how it can help landlords and tenants If the landlord and tenant find themselves in a dispute in the future, the lease will be the piece of resistance to this battle. However, there are a few factors that you should keep in mind – you have to pay a stamp duty while registering the lease which will vary depending on the city in which it is registered. This amount will be paid using the stamp paper you owe the government. In Delhi, stamp duty must be paid for 2% of the average annual rent and for leases of up to five years. In Noida, you have to pay 2% of the annual rent as a stamp duty, for leases of up to 11 months.
Leases longer than 12 months must comply with strict rent control laws, which are most often favourable to tenants. Rent control laws currently prevent landlords from overburdening tenants and protect tenants from sudden or unfair evictions. In the case of a tenancy agreement, the ownership of the property is also transferred from the owners to the tenants, making it more difficult for the landlord to evacuate a tenant. Donors therefore do not prefer to enter into 12-month leases. The bill also stipulates that tenants staying in a rental unit, as mentioned in the agreement, will be required to pay double the rent for the first two months and four times the rent in the following months. Maintenance: The contract must clearly state who must pay the monthly maintenance fee. Housing.com has launched a fully digital, contactless service to create leases. If you want to complete the formalities quickly and without any problems, you just have to fill out the details, create the online rental contract, sign the contract digitally and get an electronic stamp in seconds. In order to promote rentals in India, the government has drafted a draft directive, the Model Tenancy Act, 2020, to make the transaction advantageous to both landlords and tenants. The provisions of this model policy should be the guiding principles for the development of a lease agreement. According to the union secretary, the policy, which will likely soon replace existing rental housing laws across India, will unlock via a Crore apartment on rental markets in India.
In order to reduce costs, tenants and landlords sometimes agree orally on the lease and avoid the execution of a tenancy agreement. At one point, they also document the agreement and set the terms of the lease, but decide not to register the document.