A rental agreement is an important document that protects the interest of both the landlord as well as of the tenant. There are multiple clauses involved in a rent agreement and thus we let you know all key things and charges for the same will be borne by whom the tenant or the landlord. So, scroll down the post and read more.
1. What is a rental agreement?
Rent is a deal between two persons i.e. a landlord and tenant. A legal document that specifically contains the name, permanent address, temporary address and verification details of both the persons who let his/her property on rent and of the person who takes the property on rent.
Also, the rental agreement defines the tenure for which the property is rented upon and also has a clause that states both the persons are required to give one month notice before vacating the property. Also, the tenant can bring the landlord to court in case he/she asks him/her to vacate the asset before the said period.
Another important thing secured under the rental agreement is no increase in the rental amount. The landlord can’t ask for increase in rent before the completion of fixed tenure.
2. Why registration of rental agreement is important for the Owner?
The rental agreement is usually prepared for 11 months but the same is required to be registered under Section 17 of the Registration Act 1908 in case it is promised for a longer duration or more than 11 months period.
Also, registration of the rental agreement is important for the owner as it can be provided as proof of the said thing in the courtroom if the tenant takes legal action against him/her.
3. Why registration of rental agreement is important for the Tenant?
A tenant must get the rental agreement registered as the landlord can’t ask you to vacate the property before the fixed period. Also, the tenant need not worry about an increase in the rental amount as the rent agreement restricts the landlord from doing so before the said time.
4. What is the Ideal Rental Agreement?
A perfect rental agreement must have ownership details of the property, defined tenure for rental living, details of amenities offered to the tenant along with the details of the security deposit and reimbursement or forfeiture.
Legal documentation is an ideal practice to safeguard the interest of both parties.