Clearly defined, dispute free rental agreements. Fill in the blanks to create, eSign and git it done. Legal way for renting. LawDocs services for the home delivery of your rent agreement. Drafts for rent agreement, receipt of payment, notice for repair etc.
In simple words “Rent” is used as a part of produce. Which is paid to the owner of the land for the use of his property, goods or services. Rent is a return made by a tenant or occupant of real property to the owner for possession. And use thereof especially a sum of money agreed upon between a landlord and a tenant for the use of real property. Hence, it is the income from the ownership of land, property or other free gifts of nature.
Following can be pointed out as the differences between lease and rent regulation:
Lease is entering into a contract with the lease for a long period of use an assets/property
Rent is entering into an agreement with tenant for a certain period to let him use an asset/property
Usually leasing contract is signed for long term
Rental agreement is signed for short duration
Leasing contracts are based on accounting standard 19 as per Indian accounting standards
No particular accounting standards is followed or applied in rental agreements
Parties to lease are lessor and lesee
Parties to rent are landlord and tenant
Monthly instalments are paid for the lease property
A rent is paid monthly/quarterly for using such rental property
In lease responsibility of maintenance of the assets lies with the lesee
the responsibility of maintenance of the property lies on the tenant
Once the contract is sign there is no change in contract for the fix period of time
The landlord can change the terms of agreement any time he chooses to in rental agreement
Once the term is over the lessee is asked to purchase the asset or property
No such offer of purchase is given to a tenant in the case of rent agreement.
Following can be considered as various types of rents regulation:
It refers to the payment made for the use of land along. But in economics the term rent is used in the sense of economic rent itself.
is the rent which is paid for the services of land the capital invested on a particular property.
This type of rent refers to the price paid for the use of homogeneous land, when its supply is limited in relation to demand. If whole land is homogeneous but demand for land exceeds its supplied the entire land will earn economic rent by virtue of its “scarcity”.
refers to the rent which arises due to the differences in the fertility of land. T he surplus which arises due to the difference in fertility and productivity of the land is called differential rent of the land.
Contract rent refers to that rent which is agreed upon between the land owner and the user of the land on the basis of the contract which may be verbal or written contract. Such contract rent may be more or less then the economic rent.
The amount of rent decided by the parties and mode of payment; cash, cheque or demand draft is usually used. Also, the document must include the duration for which the rent has to be paid. Paying guest, serviced apartments and other short-term accommodation require payment on the daily or weekly basis. While long terms payments are paid monthly.
Essential utilities and their connections such as; gas, electricity, phone, television, internet, and water must be included in the rental agreement. Also, include if the rates for the same are included in the rent or paid separately.
Sometimes a landlord may choose to add lifestyle restrictions. This is very common in South India where most rental accommodations restrict its tenants from the preparation of non-vegetarian food in the premises. Other restrictions, such asâ€™ marital status, gender are also considered.