How to Get your Rental Agreement Done in Mumbai?

Are you looking to rent the house instead of buying it? Renting has turned out to be the most affordable & the most economical option for a ton of people living around the world, with countries like Germany & Switzerland giving out more spaces to people to rent homes instead of actually undergoing the hassle of buying them.

But, is the hype really worth it ? Considering renting also follows a hoard of legal formalities to cement the entire process. Let’s first understand the initiation of it all bit by bit.

How to get a rental agreement in Mumbai?
If you’re not from Mumbai, it’s the most precise time to understand the rental laws in the state of Maharashtra, Once you familiarize yourself with the law you can actually understand the rights & responsibilities as a tenant & the landlord. The next step is to look for a property you find the most suitable according to your needs & preferences, You can start hunting the properties on online home rental  platforms or even on community groups on Facebook, real estate agents, social media, newspaper listings etc. You can even negotiate the price by actually communicating with the owner of the property.

The negotiation can cover the purview of a security deposit, maintenance charges, other terms & conditions etc. Furthermore, when we move towards the draft of the legal document on the stamp paper, the agreement carries the name of the tenant & the landlord, their addresses, the amount of rent & the terms of conditions of rent. The stamp duty is charged differently for different states, you have to research the stamp duty for Maharashtra,  it is calculated based on the percentage of annual rent or lease amount.

After filling the rental agreement, it’s important to submit it in the sub registrar’s office for verification, both parties attend the registrar’s office with two witnesses each to leverage more legal validity to their agreement. After the verification is done, there’s a second round of compliance done from the police personnel where they ensure the identity of both the parties involved in the agreement, the final step then would be to comply with the existing rental laws & pay rent on time.

Documents required for registration:
The documents required for registering the rental agreement legally are – the original rental agreement and the identity & address proof of both landlords & the tenant. The parties can provide their passport, license identification or ration card to validate them. The verification process may also need property documents, passport-size photographs of both parties, the NOC of the society, registration fees, and stamp duty on the rental agreement. The process may also need two witnesses per party to affix the agreement.

Cost of a rental agreement in Mumbai:

The cost of a rental agreement may vary from one state to another considering there are differences in the rental laws already pre-existent in varied states of India, however, to provide a quick overview the rental agreement is an amalgamation of different components that form a rental agreement. It includes the stamp duty, registration fee, legal & professional fees & stamp paper cost.

Benefits of a rental agreement:

There are different benefits to landlords & tenants when it comes to curating a legal rental agreement. 

For Landlords: The rental agreement is a legal document that binds both parties & helps outline the key roles & responsibilities of both the landlord & the tenant. It also helps in establishing in the terms of deposit & the amount of rent payment for clarity, it further underlines the terms for occupancy i.e.The number of people who will live on the property, if the property is on rent or sublet. The cost of maintenance & repairs is also underlined as which party will bear it, the landlord or the tenant.

For Tenants: A rental agreement establishes clear terms & conditions of the tenancy, thereby clearing out misunderstandings, terms of condition for occupancy, the amount of security deposit to be paid & the amount of rent paid per month.  

A rental agreement serves as a potential deal breaker when it comes to conflict resolution, protecting both parties, and clarifying succinct terms.

Let’s summate the pointers you need to make note of before signing the rental agreement, there are innumerable different factors that affect the duration of rental agreement – 

• Rent & deposit – Understand & verify the amount of rent, the rent due date, the rate of security deposit paid, the number of installments paid in a year, and understand the terms of refund on the amount you have paid.

• Understanding the type of agreement – Understand whether the agreement is a rent agreement or lease agreement & whether the agreement will renew automatically if the lease ends or do you have to take specific steps to alter it.

• Maintenance & repairs – Understand the terms & conditions of maintenance & repairs & who is responsible for taking care of it, try to comprehend any changes it will cause to your daily routine.

• Notice Period – Understand that the notice period is applicable to both the tenant & the landlord & the penalties that are applicable for breaking the lease early.

• Alterations & Modifications – Check if you can make modifications or alterations to your property.

• Legal Language – Make sure you understand the legal terminology mentioned in the agreement, if you have any doubts seek clarity from the legal experts or the landlord.
• Exit process – Understand the process of cleaning up & leaving the place, make sure you fulfill all the legal requirements, seek clarification from legal experts.

The process of living on rent on a property that is not yours, in the city that you don’t belong to with a tight budget can be staunchly taxing. For this sheer reason, you need collaborators who guide you in each & every step of your process. We at Jugyah, aim to provide you this very experience by supporting you in your house-hunting process. 

We are backed by the biggest developers in the country, and fully technology-backed systems help us to serve our consumers well with ZERO brokerage fee & ZERO security deposits. Our experts make sure you get guidance and help 24/7, if you still wish to know more about us Whatsapp us or email us at our email id mentioned on the official website.

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