Legal Checklist To Rent A House
With internet portals acting as a facilitator, tenants and landlords can find one another quite easily. However, since a rent contract involves a great deal of legal work, both the parties should be fully aware of the documentation involved in the process.
Anand Avlekh of Bright Shine Associates, legal consultants dealing in property-related transactions, shares a legal checklist for landlords and tenants.
Legal checklist for tenants
Electricity bills: Usually, electricity bills are in the owners name. Always check the previous dues or penalty due to previous late payments. You can also check for the total load allowed on your electricity meter, especially if you are going to use multiple heavy-load appliances. You can ask the landlord to apply for a high wattage electricity meter if you are renting a family home.
No-objection certificate: Many housing societies in cities like Mumbai, Pune, etc., have certain limitations and reservations when it comes to tenants. It is wise to ask the landlord about the society rules and the no-objection certificate from the housing society office, to avoid future tussles.
Proof of home ownership: Tenants can also ask for home ownership proof such as the title deed or any other documents, which establishe the owners right to let out the property.
Legal checklist for landlords
Identity/address proof: Landlords should keep a copy of the tenants address proof and identification proof. Also, if they are renting out to students, landlords can also ask for parents/local guardians' contact details.
Police verification: Get your tenant verified by the police to make sure there are no legal cases against them. This can be done in your nearest police station. You need to fill out a form and attach the identification proof of your tenants. The police will visit your premises to verify in-person.
Work details: If you have office-goers as a tenant, you can also keep their employer details on record. This is another way of tenant verification and to ensure that your tenant has a stable job and means to pay the rent on time.
Maintenance charges, water charges, etc: When drafting the rental agreement, the landlord and the tenant have to decide on the payment of charges related to the property. While the maintenance charges are paid by the landlord, water charges and lease registration charges are paid by the tenant. If the lease period is less than 11 months, then the lease registration is not mandatory. Also, the rental agreement should mention the quantum of increase in rent and from which date, should also be made clear. The agreement should also mention the mode of payment. Any interest to be paid in case of delayed payment, should also be stated clearly.
Check out Rent agreement format.