10 most important clauses in a rent agreement

Returning your security deposit from the landlord can be a concern for tenants. The rental agreement should specify that if the landlord fails to refund the deposit, the tenant can keep possession of the flat without paying rent. The tenant should also be entitled to use the security deposit to cover the last month’s rent. Additionally, the agreement should require the landlord to refund the deposit immediately when the lease ends and the premises are returned to the landlord.

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The rent agreement should always mention whether the rent will be paid in advance or after the month ends. It is important to state in the agreement that rent will be paid on or before a certain date every month.

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Ideally, it’s best to have no minimum rental period in the agreement, and the tenant should be able to leave after giving one month’s notice. But landlords usually require a minimum rental period, which limits the tenant’s ability to end the agreement. It’s important to consider exceptions to the minimum rental period, such as landlord breaches or unforeseen events like property damage or a pandemic. If the tenant wants to stay longer, they should ask for a longer minimum rental period.

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Before renting a property, it’s important for the tenant to make sure that the landlord is the true owner and has the right to rent it out. The rental agreement should also state that the landlord is the owner and that there are no outstanding debts or legal issues with the property.

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Another area that could emerge as a bone of contention between the landlord and the tenant is including maintenance and non-maintenance charges in the rent agreement. It should be settled between the two parties as to who will bear the monthly maintenance but for non-maintenance charges, such as in the case of apartment associations who keep charging additional amounts for corpus fund, sinking fund, painting of apartment etc, these should be borne by the owner of property as they don’t fall under the purview of maintenance charge. The rent agreement should specify that the landlord is responsible for settling utility bills, maintenance charges, and any other dues related to the property before the start of the lease. If the tenant pays any of these amounts, they should be able to adjust subsequent rent payments. Property taxes and other related payments should also be the landlord’s responsibility.

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It’s important to include a clause in the rental agreement that specifies that the owner’s fittings and fixtures should be in working condition. Wear and tear due to natural aging is normal, and the tenant should only be responsible for damages beyond reasonable wear and tear. Some owners might include a clause to cover the cost of repainting from the security deposit. The terms and conditions regarding this should be clearly mentioned in the rental agreement.

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To avoid future disputes, the rent agreement should include a clause about renewing the agreement if both parties agree. This clause should cover the rent increase, deposit, and other details if the lease is renewed. Tenants should also include a clause stating that the brokerage fee is one-time to avoid paying it again when the contract is renewed. It’s important to discuss this with the landlord.

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Make sure the rental agreement protects tenants when landlords sell their properties. It should guarantee that tenants can keep using the premises and that the new owner must follow the rental agreement terms, including returning the security deposit if applicable.

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The rental agreement should include a provision that protects the tenant if the landlord causes any loss or damage due to misrepresentation, breach of contract, or title defects. Ensure the landlord has all the necessary permissions from the apartment owners’ association. Clearly outline all charges, property rules, and regulations. Both the landlord and tenant should agree on the contract to prevent disputes.

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