Rent Agreement: If you are making a rent agreement to save tax, then keep these things in mind..

This time has come the season of submitting investment proof in the office. Employees living on rent are submitting rent receipts along with investment proof. Along with this, a rent agreement has to be submitted. Have you submitted this? If you have not deposited it yet then get it done quickly. Before getting this made, keep a few things in mind. Here we are mentioning those 5 things that are important to keep in mind.

When will the fare increase?
First of all, decide how much rent you will pay every month. How much will the rent increase every year? If the annual increase is not mentioned in the document and the landlord will decide it in the coming few months, then this will be a better opportunity for you to negotiate. Generally, house rent increases by 10 percent every year. If it feels right to you then you can agree. The rental agreement is renewed after every 11 months. If the agreement is for more than 11 months then it is necessary to be registered. You also need to understand the security deposit and its refund process in case of vacating the house. The condition for cancellation of the rental agreement is also written in this document. The notice period is also mentioned in it. It would be better if you also mentioned the mode of fare payment (cash, check, or NEFT/RTGS/IMPS). This will save you from any disputes later.

What will happen if rent is paid late?
Check that there is no penalty for late payment of fare in the agreement. There should be a clear mention of the date of payment of rent. If any penalty is mentioned in the agreement, then you should try to pay the fare on time. Apart from this, you should also look at the electricity, water bills, house tax and facilities like a gym, swimming pool, parking, club, etc. and the payment for the same. Keep in mind that whatever charges you are paying are written in the agreement. Keep in mind what the previous maintenance charges were and whether the previous tenant has cleared all the bills or not. Before shifting to the house, meet the landlord and gather information about the past dues.

What should be checked in the house before making the rent agreement?
First, inspect the house you are taking on rent to live in. Many people do not pay attention to small things, but it is important to see them. Check the walls, floor, paint, electrical items, etc. Be sure to check whether the kitchen and bathroom fittings are in good condition or not. If something is bad or not right then definitely inform the landlord about it. Get it installed or repaired before shifting. The purpose of telling the landlord here is that you are not responsible for the damage.

If there is a need for repair and maintenance in the house, who will bear the expenses?
It should be clearly written in the agreement as to who is responsible for the regular maintenance and painting of the house. Once you shift into the house, there should be no dispute over it, so clear it beforehand. It contains many things ranging from old electrical wiring to taps and kitchen chimneys. Also check that if any accident occurs, who will compensate for the damage caused to the house? There should be a clear mention in the agreement as to who is responsible for what type of loss. Also, check whether the repair expenses will be deducted you from the rent or the landlord will reimburse you.

Will you have to pay attention to other terms and conditions also?
Other terms and conditions are also written in the rent agreement. Therefore, read the rent agreement carefully. Check to see if there is anything else you need to know. Many landlords also mention restrictions on keeping pets or eating non-veg food along with coming late to society in the rent agreement. Also, keep in mind whether the deal with the house you are taking on rent is with your landlord or if someone else is involved in it. Verify documents like the sale deed. Along with this, if it is necessary to take NOC from the housing society, then complete that process also. Also, get it written that what will be the procedure if the landlord wants to vacate the house in the middle of the agreement period.

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