Rent Agreement (Bhada Karar) Draft Guide
What you need to know
A rent agreement (bhada karar) is a legally binding document between a landlord and tenant that sets out the terms of tenancy including rent, duration, deposit, and responsibilities. In India, rent agreements for 12 months or more must be registered under the Registration Act, 1908; agreements for 11 months are kept unregistered to avoid stamp duty but must still be on stamp paper. An unregistered or poorly drafted agreement can leave both parties without legal protection in disputes over eviction, deposit refund, or rent increase. A proper agreement protects the tenant's right to peaceful possession and the landlord's right to timely rent and property return.
Your rights
Tenant has right to peaceful possession for the agreed term without arbitrary eviction
Security deposit must be refunded within agreed timeline after vacating; no unlawful deduction
Landlord cannot increase rent mid-term without written mutual consent
Tenant entitled to receipt for every rent payment; landlord cannot deny basic amenities
What you should do now
Action firstAgree on key terms before drafting
- Finalise monthly rent, security deposit amount (typically 1–3 months' rent), tenancy start date, and duration
- Agree on notice period (usually 1 month), maintenance responsibilities, and permitted use of property
Draft the agreement on proper stamp paper
- Use stamp paper of correct value as per your state's stamp duty schedule (commonly Rs 100–500 for 11-month agreement)
- Include clauses: parties' details, property description, rent, deposit, escalation clause, lock-in period, maintenance, and termination
- Both parties and two witnesses must sign every page
Register the agreement (if 12 months or more)
- Visit the Sub-Registrar's office with original agreement, ID proofs, passport photos of both parties and witnesses
- Pay applicable registration fee and stamp duty; collect registered copy — this is legally enforceable in court
Keep records during tenancy
- Tenant should collect signed rent receipts each month or maintain UPI/bank transfer proof
- Document property condition with photos at move-in and move-out to avoid deposit disputes
Acts applicable
Registration Act
centralSection 17 — compulsory registration for leases over 12 months
Transfer of Property Act
centralSection 105–106 — definition and terms of lease/tenancy
Indian Stamp Act
centralSection 35 — stamp duty on rental agreements