Pranav Pandya, Franchise Development Manager, RE/MAX

Gujarat

WHAT ARE LEASE, TENANCY AND

HOUSE RENT AGREEMENTS AND

HOW TO NEGOTIATE THEM

RE/MAX Gujarat

Lease

Transfer of the right to use the property.

For a specified period/for perpetuity

Can’t evict the leaseholder while the lease is

in existence unless termination provision.

RE/MAX Gujarat

What if a lease leads to a tenancy?

RE/MAX Gujarat

Leave and License

RE/MAX Gujarat

Advantage of leave and licence

RE/MAX Gujarat

How to ensure an effective lease

deed or leave and license

agreement?

Find out who is the actual owner

It is crucial that a leave or license or lease agreement is signed only with the real owner of the house.

It is more difficult to trace ownership of agricultural land

If the person leasing the property is not the owner of the land, find out if he has the authority to lease it.

RE/MAX Gujarat

Renting out mortgaged property

Term of the agreement

RE/MAX Gujarat

Termination clause and notice

period

Most property related disputes between landlord and occupant usually take place over termination and eviction.

long notice periods and lock in periods

One month and three month notice period are most common in India

RE/MAX Gujarat

Important Clauses

Lock in clause

Sub-letting clause

Payment clause

Increase in rent clause

Guarantor Clause

Maintenance/association charges clause

RE/MAX Gujarat

Important Clauses

Wear and tear clause

Clause for furniture and fixtures

Clause on associated facilities and

amenities

Security deposit clause

Repair works during occupancy

RE/MAX Gujarat

Important Clauses

Wear and tear clause

Clause for furniture and fixtures

Clause on associated facilities and

amenities

Security deposit clause

Repair works during occupancy

RE/MAX Gujarat

Important Clauses

Clause for tax liability

Dispute resolution clause

General nuisance clause

General points of concern regarding leasing or renting of any nature

Thank You