The Rights And Responsibilities Of Tenants And Landlords In Delhi

The Rights And Responsibilities Of Tenants And Landlords In Delhi

The Rights And Responsibilities Of Tenants And Landlords In Delhi

Renting is always a great alternative for those who cannot afford to buy a home. However, for the experience of renting to be pleasant, it is important that the tenants and landlords have a good understanding of their rights and responsibilities.

MakaaniQ lists the basic rights and responsibilities of tenants and landlords in Delhi:

Determining  Rent

Usually, rent is decided by mutual consent, in an agreement between the tenant and the landlord. However, in all Indian cities and most cities worldwide, the rent landlords can legitimately charge is regulated by rent control legislation. For Delhi, the upper ceiling for annual rent is 10 per cent of the cost of construction and the market price of the land. The price of the land and the cost of construction are both rooted in historical price trends. The rent can be raised by a fraction of the cost incurred by the landlord in enhancing the property.

When to vacate

In India, there are two types of contracts: The Lease Agreement and the Lease and License Agreement. The former transfers the right of ownership to the tenant for an indefinite period of time. This leads to problems, because tenants refuse to vacate. When this reaches court, it takes 10 to 20 years for the court to find a resolution. On the other hand, the Lease and License Agreement grants the tenant the right to occupy the property for a period of 11 months. This comes along with the choice of periodic renewal. This is the most common agreement that landlords usually choose. It is always better to add a clause to quadruple the rent if the tenant refuses to vacate the property.  

Revising the rent

To revise the rent, the landlord is expected to give a notice to the tenant. The notice should be clearly written according to the norms stipulated in the section 106 of the Transfer of Property Act, 1882. This should be signed by the landlord. The revised rent will come into effect from the date of addition or structural alteration.

Rental receipt

It is the duty of tenants to pay rent and other charges within the period stipulated in the agreement. If the tenant defaults on the payment, he will be expected to pay simple interest at the rate of 15 per cent per annum. The interest payment will be calculated for the period ranging from the date on which the rent was due to the date on which it was paid. 

It is the duty of the landlord to give a rent receipt to the tenant. If he doesn't, the tenant can file an complaint. Subsequently, the authority will listen to the landlord and may ask the landlord to compensate the tenant. This is applicable only if the tenant gives the application within a period of two months from the date of payment. The tenant can always ask particulars of the landlord's bank account in order to deposit the rent. If the landlord does not supply the particulars, the payment can be made through postal money order subsequent to the deduction of postal charges.

Last Updated: Thu Sep 22 2016

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@@Wed May 13 2020 19:59:51