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Residential Lease Deed

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Overview

A residential lease agreement is also known as a rental agreement. It is a legal document that states the terms and conditions under which the rented property is leased out. These terms and conditions are followed by the landlord and the tenant. Often the relationship between the landowner and the occupant is genial. But it can also turn sour at some point in time. Thus, it is good to have a residential lease agreement in place.

A residential lease agreement is usually drafted on a stamp paper. You can find two types of rental contracts in India. The following are the two types of rental agreement:

Lease agreement: 

It is an official contract signed by the owner and the tenant. This agreement has a validity of 12 months. In these agreements, both the owner and tenant have to abide by strict rent control laws. These agreements usually favor tenants. It prevents landlords from increasing the rent of the property. It also protects the tenants from unexpected eviction from the property. The lease agreement transfers the right of ownership from the landlord to the tenant during the lease period. This makes it more troublesome for a landlord to remove the tenant. Thus, Most of the landlords usually do not prefer the lease agreements of 12 months.

License agreement:

It is also an official contract signed by tenant and the landlord. This agreement offers you 11 months of validity. It also provides an option to renew the agreement before the expiry. Having a validity of 11 months, it is just a license that offers a short duration of occupancy to the tenants. Besides, the license agreements of 11 months are favorable towards the landlord. The landlords have power to evict any tenant that they want. Hence, most of the landlords prefer the license agreements of 11 months.

Contents in a rental agreement:

The common contents of every rental agreement include are:

1) Name of the landlord, tenants and any other agents

2) Description About the property to be rented

3) Rent amount and the due date of the payment

4) Grace period and late charges

5) Mode of payment

6) Process of terminating the agreement

7) Amount of deposit as security

8) Utilities furnished, rules and regulation,

9) Facilities in the premises

10) Repair request procedure

Execution of the agreement:

The residential lease agreement is for tenant and the owner of a property. Both the owner and tenant sign the legal document. It indicates that both parties agree to the terms and conditions mentioned in the document. This legal document can be presented in the court of law in case of disagreement by both owner and tenant. It is mandatory that the rental agreement should be printed in the stamp paper worth INR 100. The time to sign the agreement is during the payment of deposit.

Duration of Residential Lease Agreement

There are two types of Residential Lease Contracts in India. Both of these agreements have different terms. Rental lease agreement offers you 12 months of validity while license agreement offers you 11 months of validity. The landlords mostly prefer the agreement with 11 months of term. It is because it favors landlords.

Document Required

  • Name and address of all parties
  • Detail of Property
  • Any other specific terms

Time Lines

  • (3 to 7 Days)
  • Purchase the Service
  • Upload / send the Documents
  • Discussion with expert
  • Preparation of Draft
  • Confirmation to client

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