Process Of Rent Agreement Registration In Maharashtra

 

Meaning & Importance Of Rent Agreement Registration 

Rent agreement: A rent agreement is the legal document that binds the tenant and owner of the property in a contractual agreement. 

It contains various terms and conditions such as

• Details of the property
• Monthly rent and security deposit amount 
• Duration of the tenancy
• Penal charges on late payment of rent 
• Other inclusive charges, i.e., electricity charges, water charges, parking, repair, etc.
• The notice period for vacating the property 

Importance of rent agreement registration: Registering a rental agreement is important for both parties as it can be used as a piece of evidence in case of any disputes or disagreement that may arise between the tenant and landlord. 

How To Register The Rent Agreement In Maharashtra?

The process of rent agreement registration is simple, still for ease of registration, IGR department in Maharashtra has given two options of registration, mainly physical or online way of registration.

However, the biometrics or signing of agreement by landlord, tenant and the two witnesses is mandatory in both of the options. 

For Physical Rent Agreement Registration

1. You need to prepare the rent agreement containing the various terms and conditions, preferably from a lawyer.
2. Then print the given agreement on the stamp paper
3. Then visit sub register office along with all parties and pay the required registration charges and stamp duty charges to register rent agreement at the sub-registrar office 
4. Tenant and landlord shall sign the rent agreement in the presence of both the witnesses and sub register

For Online Rent Agreement Registration

1. You need to visit official IGR website. 
2. After visiting the site you need to login and need to fill the “Leave and License section.” 
3. After filing the required details payment of necessary fees is required through a e gras challan.
4. After payment the owner and tenant is required to submit the biometric verification along with photo. 
5. Post the same the document is submitted to sub register office for stamping in online way, after which the document is registered.

Note: Webcam and registered biometric device are required for the online process. 

Documents Required For Rent Agreement Registration In Maharashtra 

For physical registration: 

• Proof of original ownership of property
• Address proof copy of landlord, tenant, and two witnesses (such as Aadhar card, Ration Card)
• Two passport size photographs of the tenant and landlord. 
• One passport size photograph of each witness. 

For online registration: 

• Aadhar copy of owner, tenant & 2 witness .
• Property’s light bill or index 2.
• POA – In case of registration through POA.

Stamp Duty & Registration Charges In Maharashtra

Leave and lease agreements in Maharashtra attracts the registration charges& stamp duty charges as follows out of which registration charges are as follows:

Rs.1,000 for properties established in urban areas (municipal corporation area)

Rs.500 for properties established in rural areas.     

Further, the rental agreements are required to be stamped to make them legally bound. In India, the basic rules related to stamp duty are prescribed in Stamp Act, 1899 however, within the prescribed set of rules, every state defines its own stamp duty charges. 

Similarly, the stamp duty on rent agreement registration in Maharashtra is governed by the Bombay Stamp Act, 1958, and it must be stamped at a flat stamp duty charge of 0.25 percent of the total rent for the period. 

Conclusion

An oral agreement is never bound by the laws; therefore, it is advisable to execute a written rent agreement. The constant increase in the number of tenant-landlord disputes due to several reasons can put both parties in trouble. Therefore, to avoid any legal consequences, you must apply for the rent agreement registration in Maharashtra.