New Rent Agreement 2025: Now it will be easier to register a tenant. The landlord cannot evict the house without notice. The tenant will also be required to pay two months’ rent in advance. Rules have been established for renting commercial properties. Learn the details.
The number of tenants and those renting out property is increasing rapidly in the country . This is the reason why property-related disputes are also increasing. Keeping this in mind, the government has brought the New Rent Agreement 2025. Now it will be easier to register the tenant. The landlord cannot vacate the house without giving notice. Also, the tenant will have to pay 2 months’ advance rent. Rules have been made for taking commercial property on rent. These rules are based on the Model Tenancy Act ( MTA) and the recent budget provisions , which will give a fixed system to the rent system .
Timely rent agreement registration is mandatory
Under the new rules , every rental agreement must be registered within two months of signing . Registration can be done in two ways : through the state ‘s online property registration website or by visiting the nearest registrar ‘s office . Failure to register an agreement within the stipulated time can result in a fine of ₹ 5,000 .
Important changes for renters
1. Mandatory registration
Without registration the agreement will not be considered valid .
2. Limit on security deposit
In residential properties , a maximum of two months ‘ rent will have to be paid .
In commercial places , a deposit of up to six months ‘ rent will have to be made .
3. Rent hike as per the prescribed rules
Landlords will not be able to increase rent arbitrarily and will have to give prior notice .
4. Ban on sudden evictions
It is clearly stated in the rules that the tenant cannot be asked to vacate the house without completing the proper procedure.
5. Faster resolution of disputes
For this, special rent courts and tribunals have been created, where the target has been set to settle the disputes within 60 days .
Benefits for homeowners
1. Higher TDS exemption
The TDS limit has been increased from Rs 2.4 lakh to Rs 6 lakh annually, which will provide more relief to landlords.
2. Tax reporting is easy
Income from rent will now be directly counted as Income from Housing Property .
3. Fast action on non-payment of rent
If the rent is not received for three months or more , the matter can be sent to the Rent Tribunal for early resolution.
4. You will also get benefits if you get your house repaired
Improvements or lower rents may be eligible for tax exemption under state schemes.
How to register a rent agreement?
- Visit your state’s property registration website .
- Upload ID proof of both the parties .
- Fill in the rent and terms information .
- E-sign and submit .
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