The typical security deposit for a rental property in India, varies from state to state and city to city. In Bangalore, for example, the typical security deposit is usually 10 times the monthly rental. In Mumbai, this is usually 4-5 times the monthly rental. There is legislation in the making, the so called model tenancy law, that might cap such security deposits to 2-3 times the monthly rental.
The basic intention behind a landlord asking for a deposit from the tenant, is usually to encourage the tenant to properly look after the rental premises and deter them from causing damages to the rental premises. If the tenant causes any damages to the rental premises during the tenancy, the landlord, as per the terms of the rental agreement is well within his/her rights to deduct the appropriate repair costs of such damages from the […]
A rental agreement should make sure that the following components are always included: The details of the landlord and the tenant including the name, address and contact details. The full postal address of the property and its dimensions. How long the rental agreement is valid for – the duration of the tenancy? What is the rent per month to be paid by the tenant to the landlord and by what date every month? What is […]
Usually a rental agreement specifies that the landlord might, within reasonable limits, deduct repair charges from the rental advance/ security deposit for damages caused by the tenant during the tenancy. However there are a few grey areas here. Firstly are the damages solely attributable to the tenant or were they pre existing? Secondly who decides what is a fair amount of repair charges to be deducted? The question is what could the tenant do if […]
Here are the steps that you should take if your landlord refuses to return your security deposit: Talk to the landlord and tell him/her that you find the withholding of the deposit totally unreasonable. Ask for justification from the landlord. Try to convince the landlord about returning the deposit. If speaking to the landlord does not work, send a formal email to the landlord about how you feel about not receiving the deposit, the reasons […]
Speak to the landlord well in advance about your plans to vacate the home. Give him/her enough time to make arrangements for the return of the rental deposit. Clearly specify the mode of return – whether you would like it via cheque or via digital medium. Also make clear to the landlord that the home is indeed in the same condition as it was when you took possession. Ideally you have a report of the […]
Usually the tenant has no choice in the matter but to pay as deposit what the home owner demands. The standards vary from city to city. In Bangalore, for example, the typical security deposit is usually 10 times the monthly rental. In Mumbai, this is usually 4-5 times the monthly rental. There is legislation in the making, the so called model tenancy law, that might cap such security deposits to 2-3 times the monthly rental. However […]