Rent Agreement Update: Landlord should get this paper made and not a rent agreement, tenants will never be able to take possession..
There are often reports of disputes between landlord and tenant. It is normal to have disputes over small matters, but many times this dispute is over the possession of the property in which tenants live. To avoid this, landlords started making rent agreements, but even today disputes over claims of possession are increasing.
As of now, arrangements for rent or lease agreements are in place to protect the interests of landlords. Despite this agreement, tenants have tried to take over the house on a large scale. In response to this, property owners have now started adopting the option of a 'Lease and License agreement. A lease and license are also much like a rent or lease agreement or rent deed. Simply, some clauses written in it are changed. Property expert Pradeep Mishra is giving complete information about how a lease and license are made and what are its benefits.
This is entirely in favor of the landlord
Be it rent or lease agreement or lease and license, all these documents are made unilaterally to protect the interests of the landlord. So that, the possibility of the tenant taking possession of the property can be eliminated. Therefore, it is mentioned that the owner of the property is giving it to the tenant for residential or commercial use for a fixed period. This period can range from 11 months to a few years. If the tenant is taking the property for residential use then it will not be used for commercial use. If the agreement is not extended, the tenant will have to vacate. In lease and license, the landlord is referred to as 'Licensor' and the tenant as 'Licensee'.
What is the difference between the two?
Rent agreements are generally made for residential properties for 11 months. Whereas a lease agreement is used for a period of 12 or more months. Also, it is generally used for renting out commercial properties. Here, a lease and license can be made for a period ranging from 10 to 15 days to 10 years. The special thing is that all these documents can be made on stamp paper only through a notary. Apart from this, if the rental period is 12 years or more, then it is necessary to get it registered from the court because real estate is a subject of the state list, in such a situation, the registration fee in different provinces of the country is one to two percent of the rent. .
Which document is better between the two?
A lease and license can be considered better than a rent or lease agreement. It can be made for a minimum period of 10 to 15 days as well as for a long period like 10 years. Along with this, it is mentioned that the licensee i.e. the tenant will not claim or demand any right over the property in any way. Due to this, the landlord retains ownership of the property even if it is in the possession of the tenant for some time. Another good thing in this is that when two parties sign a rent or lease agreement with mutual consent and one of the parties dies, then in those circumstances his successor i.e. the heir can continue that agreement with mutual consent. Can. At the same time, this is not the case in leases and licenses. It becomes zero upon someone's death.
Follow our Whatsapp Channel for latest update
READ ON APP