22 Things You Must Know Before Renting A House in Bangalore
Rent Housing is a preferred reality in recent years. Many people only prefer to stay on rent. Bangalore has a very good strength of Marwari`s who are there in business across Bangalore. Marwari`s have one common statement is there is no profit they will not consider it as a business.
I knew personally many even they are very capable enough to go with the purchase of a house or flat but it is not on their priority list and they always prefer to stay on rent. You can check the top 10 advantages of staying on rent in 2021 for more details.
There have been many instances of disputes between owners and tenants comes into knowledge while the percentage of such incidents is too low.
In most cases, it works really well as both are part of the same coin for the industry of rental housing. I have been a tenant in past and now owner so I am well aware of the major items of disputes may be.
This is in the interest of both tenants as well as owners to have peace of mind and not leaving any matter of disputes. It is almost similar to small issues in a normal home it starts with very small ignorable items which draw a line between tenants and owners.
Please remember in any sector including rent housing exceptions are always there. That is the basic concept of society as it is built with all kinds of people. People with a positive mindset and people with a negative mindset. Like tenants and owners are two faces of the same coin similarly good and bad are also two faces of society named coin.
If you are planning to rent a house or flat in Bangalore there are things you must know before renting a house in Bangalore in 2021 and better to discuss and document everything and not leaving any matter of dispute considering the fact down the lane you also will be in the same boat in future.
22 Things You Must Know Before Renting A House in Bangalore
Below are the things you need to know before renting a house in Bangalore.
1. Rent Agreement
Rent Agreement is the one and only official legal document between tenants and owners once renting is finalized. You will not even have any other documents. This is always the first and the last document for tenants. So you need to read it carefully Rent Agreement Draft and get synced with the Owner if any modification required before it is signed.
We will discuss all the topics under Things You Must Know Before Renting A House in Bangalore but whatever we are going to discuss down it is always better you must have clarity on those points and better to document in the Rent Agreement.
Before signing the Rent Agreement you need to provide the below details to the owner as per local administration like rules by the state government as a standard for rental housing.
- Government IDs: ID Cards which can provide your details Name, Contact, Address. Only Government ID,s like Aadhar, PAN, Voter ID, Passport, etc.
- Company ID: Even though it has no value for Rent Agreement purpose but the owner may ask to have some basic understanding about you.
- Permanent Address Proof: The owner may ask for family details and your Native Address Proof if it is different from Govt ID`s for example Permanent Address Proof kind of things.
2. Rent Agreement Renewal Terms
Rent Agreements are for 11 months due to legal requirements which we are not going to discuss in detail so you need to clearly discuss with owners about the extension of the rent agreement what will be the conditions for instance how much rent increment is expected normally it would be somewhere around 10 percent.
This is the basic question and has all center of attraction for discussion. This normally defines the dates of rent payment every month once tenancy starts. This is the primary point of discussion. All the decision-making depends on rent only.
4. Security Deposit
Even though security deposit is a very old concept but in India earlier it was not so much popular especially in the housing sector and it was kind of optional based on owners but it is the mandatory item of the rent agreement. It started getting more importance from Bangalore itself and now became a mandatory phenomenon.
So you just need to discuss clearly the money you need to give in advance in name of the security deposit to the owner.
This was in favor of the owner considering their worries. Many owners do not want to give any proof for it but it is really good if it gets mentioned in the Rent Agreement.
As per my understanding mentioning security deposit in Rent agreement is a default phenomenon now but just cross-check to make sure it is.
5. Security Deposit Refund
Security Deposit is refundable in nature but there is a catch in this provision you need to address carefully for example deductions at the time of exit. Please make sure the exit plan is carefully documented like the painting clause, damage recovery, and if any rent balance deductions.
6. Security Deposit Deductions at Exit
You can discuss in detail what will be the deduction at the exit very clearly. Make clear provisioning for repainting a flat or house and have a value defined or simply you may have clause you can get it done yourself. Please make sure the exit plan well defined and has absolute clarity.
7. Maintenance Charges
Everything needs maintenance charges so as household as well. This is especially in the case of rental apartments. Almost all the apartments have individual societies to maintain all the requirements of the apartment. Usually, it goes to tenants for the duration of their stay in the flat. Just get it clarified who has to pay if any increment happens in maintenance charges by society.
Usually, it also goes with whoever is availing facilities currently means tenants only.
8. Lock-In Period
The Lock-In Period concept is taken from the financial industry to ensure rent continuity with a little incline in favor of the owner. This is because an abnormal or sudden kind of tenant exit puts the owner into nowhere situation as you can imagine the time going on currently it becomes a big issue for owners to get tenants.
Due to the availability of fewer tenants as many moved to native and continue working from home. The level of impact pandemics have and has badly impacted the rental industry.
Many owners not getting tenants and many have reduced their rates as well. Many big companies even started considering reducing their building infrastructure as work from home becomes new normal. To discuss lock-in period with owners before Rent Agreement gets finalized.
9. Government Taxes
Government Taxes like House taxes etc normally the responsibility of the owner but some owners may ask to pay house tax for the duration of their stay. Seems feasible up to some extent but it is better to have a discussion and get clarity.
10. Brokerage Charges
Be aware of brokerage if you have reached the owner via an agent. Agents have a good level of understanding with owners usually as logically this seems long relationship beyond one tenant.
Please make sure terms and conditions from brokerage agents as they may have a kind of rent agreement renewal option which may trick you and you have to welcome in that case after each extension if you have signed and accepted their terms and conditions.
Make sure you do not have such kind of provision in availing their services to avoid any unexpected payments to the booking agency. Please prefer one-time payment only.
11. Household Inventory
Make a list of all fittings & fixtures like how many fans installed and their condition, how many AC installed and its conditions, Water Purifier, Gyser, Chimneys, Wardrobes, Bulbs here I mean make a complete list of items handed over to you for availing all the facilities during your stay and get a signed doc with the owner just for your safety.
12. Keys & Other Valuable Items if Any
Keys are really important items. Please count the number of keys handed over to you and make a note and share with the owner to avoid any future disputes like deducting locks replacement charges including labor cost.
13. Notice Period
Always discuss the notice period. It simply means how early the owner should be notified about your exit plan. In most of the cases, it is a minimum of two months again it is due to the time is taken to get new tenants. Some owners even may ask for a three-month notice.
This has to be discussed clearly with the owner before the rent agreement and read the Rent Agreement carefully that whatever agreed between you and the owner is well documented in the rent agreement.
14. Landlord Access
Even though the landlord has every right to visit the premises they own but still you can discuss with the owner how frequently he would like to visit his property for inspection.
15. Area Research
You can do your own research about the area where you are looking for a property on rent like rent trends etc to make sure overpayment is not done.
16. Pet Friendly or Not?
If you own pets it is better to discuss in the early stages as some societies and owners do not allow pets on their premises. Worth discussing for a pets lover.
17. Local References
Due to legal requirements, most of the time owner may ask two references who know you well in Bangalore. So it is better to update persons whose reference you are going to give to the owner in advance. As it may lead to confusion if the owner tries to get in touch with your references.
18. Water Availability
These are part of regular maintenance but a good point to check what level of water supply available and if any cost associated with to use of services. Water is an essential item so better to have an understanding of the water resources you are going to have.
19. Power Backup Facilities
No one can live without power. Check what are options available for the property you are going to rent out. Check backup plan if common electricity is not available. Backup provision of power like geneset power etc.Looks for 24x7x365 Power backup options if possible.
20. Garbage Collection & Disposal
Check with the owner what are the facilities available for garbage collection, garbage segregation, and disposal as it will be going to be a daily affair to you need to have clarity and follow policies as it may attract fines as BBMP is too strict on this as it is becoming difficult to manage for BBMP due to exponential growth of the city.
21. Electricity Meter Readings
Note down the reading of the electricity meter before you start to avoid any confusion regarding Electricity Bill payment as you need to start paying regularly.
22. Parking Facilities
A parking facility is one of the most important factors in Bangalore. It is always worth checking with the owner if he will provide parking facilities or not. Normally it will be part of the Rent Agreement and it must be included Rent what was discussed. There will be no surprise later that you have to pay as it may be a costly affair for you.
That`s all about 22 Things You Must Know Before Renting A House in Bangalore. Normally these points are of common intelligence but they can be as reminders for considering those as a checklist. Also, you can add a few more from your side if you think that is relevant to get it confirmed. You can share your thoughts on this if any major things missed in this list.