Leasebanao: frequently asked questions

Rent Agreement Drafter

Why are most rent agreements for 11 months?

Under the Registration Act, 1908, a lease for more than one year (or one that reserves a yearly rent) must be registered at the sub-registrar office, which costs more and needs both parties to attend. An 11-month agreement with monthly rent does not have to be registered in most states. Two exceptions: in Maharashtra every leave and licence agreement must be registered whatever the term, and in Tamil Nadu tenancy agreements must be registered with the Rent Authority under the 2017 tenancy Act.

Is a rent agreement drafted here legally valid?

The draft becomes a binding agreement once it is printed on (or attached to) stamp paper or an e-stamp certificate of the right value for your state, signed by both parties and two witnesses, and registered where your state requires it. The page tells you those steps for your state. We do not stamp, e-sign or register for you, and we are not a law firm, so for unusual or high-value situations have a local advocate look at it.

How much stamp duty do I pay on a rent agreement?

It depends on the state's Stamp Act and is usually a percentage of the rent for the term, sometimes including the deposit. For Maharashtra leave and licence agreements it is 0.25% of the total licence fee plus notional 10% a year interest on the refundable deposit, and the calculator on this page estimates it. For other states, use the state's e-stamp calculator (SHCIL or the state portal) or ask the stamp vendor; rules and rates change, so we do not guess them.

Can I stop the landlord from deducting painting and cleaning charges from my deposit?

You can agree the rule before you sign. The draft fixes it upfront: for example, the tenant pays professional cleaning or a capped painting amount only after a minimum stay, normal wear and tear is never deducted, and every deduction must be itemised with bills and photos, with the refund due within a set number of days. The move-in condition record (Annexure B) is your evidence of how the flat looked on day one.

The broker sent me a format. Can you check it?

Yes. Choose "Check an agreement I was given", say whether you are the tenant or landlord, and paste the text. You get a verdict, each risky clause with what it means in practice and replacement wording, missing clauses, a state format check, and a short polite message you can send asking for the changes.

What is the difference between a leave and licence agreement and a rent agreement?

A leave and licence agreement gives permission to use the property without creating a tenancy, and it is the standard format in Maharashtra, where it must be registered. A rent (lease) agreement creates a tenancy and is what most other states use. The tool picks the right one from your state.

Is there a legal limit on the security deposit?

The central Model Tenancy Act, 2021 suggests a maximum of two months' rent for homes, but it only applies in states that adopt it, and many big rental markets (such as Karnataka, Maharashtra and Delhi) have not set a statutory cap. In practice the deposit is what you negotiate, so the agreement should at least fix when and how it is refunded.

Can I use it for a shop, office or PG business?

This tool is for residential lettings: a whole flat or house, or a room / PG / flatmate share. Commercial leases need different clauses (GST, fit-out periods, longer lock-ins, signage, business use), so use a commercial lease drafter or an advocate for those.

Does a notarised agreement count as registered?

No. Notarisation only attests signatures. Registration happens at the sub-registrar office (or the state's online registration system, as in Maharashtra) and is a separate step that is compulsory only in the cases the page explains.

What does it cost?

Your first agreement or check is free. After that it is ₹149 / $3 per agreement (or check), which includes up to 3 revisions such as "make the lock-in 3 months" or "add a pet clause". Stamp duty and any registration fee are paid separately to the government.