Residential Agreement

It is a legally binding contract between a landlord and a tenant that outlines the terms, conditions, and responsibilities governing the rental of a residential property.

An 11-month term is often used to bypass the mandatory registration requirement under the Registration Act, 1908, which applies to leases of 12 months or more. However, many states now mandate registration regardless of the term.

A Lease creates an interest in the property and is harder to terminate, while a License only grants permission to occupy the property without transferring any legal interest, making it easier for landlords to manage.

No. While notarization verifies the identity of the signers, only a registered agreement is recognized as primary evidence in a court of law for property disputes.

By convention, these costs are often shared equally between the landlord and tenant, but the law does not strictly dictate this—it depends on the mutual agreement between parties

No. Rent increases can only happen according to the “Escalation Clause” specified in the agreement, typically occurring at the time of renewal.

It is a sum paid upfront by the tenant to cover potential damages or unpaid bills. It is fully refundable upon vacating the premises, provided the property is returned in its original condition.

This is a fixed duration (e.g., 6 months) during which neither the landlord nor the tenant can terminate the agreement. Breaking the contract during this period usually involves a financial penalty.

The standard notice period is typically one to two months, as defined in the “Termination Clause” of the agreement.

Generally, the tenant handles minor repairs (e.g., fuse replacement, tap leaks), while the landlord is responsible for structural repairs (e.g., wall cracks, external plumbing, roof leakage).

No. A landlord must provide “Reasonable Notice” (usually 24 hours) before entering for inspections or repairs, except in emergencies.

The landlord can initiate legal proceedings for eviction. A registered agreement makes this process significantly faster and more effective.

Yes, in most major Indian cities, police verification is a legal requirement for security purposes and to prevent the misuse of residential premises.

It is an annexure that lists all furniture, fixtures, and appliances provided by the landlord, noting their current condition to avoid disputes during move-out

No. Unless explicitly stated in the agreement and permitted by local zoning laws, using a residential space for business is a breach of contract.

It refers to the natural deterioration of the property through regular use (e.g., fading paint over years). Landlords cannot deduct money from the security deposit for normal wear and tear.

If a landlord is an NRI or unavailable, they can authorize a representative via a PoA to sign the agreement and manage the property on their behalf.

Only if the agreement contains a “Subletting Clause” that expressly allows it. Without this, subletting is usually prohibited

The tenant can issue a legal notice based on the terms of the registered agreement and approach the small causes court or the Rent Authority

Yes, under the Information Technology Act, Aadhaar-based e-signatures are legally valid and are increasingly used for the e-registration of rent agreements.