The typical lease term for renting property in India is 11 months. This is because a lease agreement for 12 months or longer is required to be registered with the local authorities, which involves paying stamp duty and other fees. By keeping the lease term to 11 months, landlords and tenants can avoid this registration process.
Furnished vs. Unfurnished Rental Properties in India
Furnished rental properties in India come with a range of items, including furniture, appliances, and sometimes even bedding and kitchen utensils. Unfurnished rental properties, on the other hand, typically come with no furnishings or appliances.
In a furnished rental property in India, tenants can expect to find furniture such as beds, wardrobes, chairs, and tables. Appliances may include a refrigerator, washing machine, and air conditioner. Kitchen utensils such as plates, cups, and cutlery may also be provided.
Standard or Typical Clauses in a Lease Agreement in India
The standard or typical clauses in a lease agreement in India include:
- Rent amount: This is the amount of rent that the tenant is required to pay each month.
- Security deposit: This is a deposit paid by the tenant to the landlord at the beginning of the lease term, which is refundable at the end of the lease period.
- Lease term: The length of the lease period, which is typically 11 months.
- Renewal clause: This clause outlines the process for renewing the lease agreement at the end of the lease period.
- Maintenance and repairs: This clause outlines the responsibility of the tenant and landlord for maintenance and repairs of the property.
- Termination clause: This clause outlines the process for terminating the lease agreement before the end of the lease period.
Additional Clauses in a Lease Agreement in India
There are several additional clauses that may be included in a lease agreement in India, but they are not mandatory. These include:
- Use of common areas: This clause outlines the rules and regulations for the use of common areas such as the parking area, garden, and swimming pool.
- Pets: This clause outlines whether or not pets are allowed in the rental property.
- Utilities: This clause outlines the responsibility of the tenant and landlord for paying for utilities such as electricity, water, and gas.
Considerations for Expats Signing a Lease Contract in India
Expats who are signing a lease contract in India should be aware of several considerations. Firstly, it is important to thoroughly read and understand the terms of the lease agreement, including any additional clauses that may be included. It is also recommended to have a legal professional review the lease agreement before signing.
Another consideration is the potential language barrier. Hindi is the primary language in India, and some rental agreements may be in Hindi. It is important for expats who do not speak Hindi fluently to have a translation of the lease agreement done by a professional translator before signing it.
Expats should also be aware of the process for registering their address in India. All individuals who reside in India are required to register their address with the local authorities, and this registration is necessary for obtaining important documents such as a work permit or a visa.
Condition Reports for Rental Properties in India
Condition reports are not common in India before signing a lease agreement. However, it is recommended that the tenant do a walkthrough of the property with the landlord or letting agent before moving in to identify any issues or damages that are present.
Qualifications and Licenses for Letting Agents in India
Letting agents in India are not required to have a specific license in order to operate legally. However, it is important to work with a reputable agent who has experience and knowledge of the local rental market.
Reputable Associations or Organizations for Let
There are several reputable associations and organizations for letting agencies in India. The National Association of Realtors – India (NAR-India) is a non-profit organization that works to promote and regulate the real estate industry in India. They offer training and certification programs for real estate professionals and have a directory of licensed agents on their website.
Another reputable organization is the Confederation of Real Estate Developers’ Associations of India (CREDAI), which is a national association of real estate developers. They have over 12,000 members across 23 states in India and work to promote ethical and transparent business practices in the real estate industry.
In addition, there are several local associations and organizations that may be helpful in finding a reputable letting agent in a specific area of India. These include the Mumbai Property Exchange, the Bangalore Realtors Association, and the Delhi-NCR Real Estate Agents Association.
It is important to do research and due diligence when choosing a letting agent in India, and to work with an agent who has a good reputation and a proven track record of success.
