Will your lease settlement stay legitimate if landlord sells the property?

NEW DELHI :
New Delhi: What if the flat during which you might be residing on lease (with an 11-month lease settlement) is offered to a brand new purchaser by your landlord simply after two months? Will your lease settlement stay legitimate for the following 9 months or will it’s important to get a brand new lease settlement made with the brand new purchaser on new phrases and circumstances, most likely additionally pay the next lease?

In this piece, we are going to try to perceive the circumstances during which a tenant can defend his rights whereas residing in a rented home.

Also Read | Restaurants are actually all the way down to the waterline

Unless the lease settlement stipulates an categorical provision for its termination upon the switch of tenancy by the owner, the 11-month lease settlement assures cost of the identical lease regardless of change within the landlord, stated specialists at Shardul Amarchand Mangaldas & Co.

However, if sure clauses are usually not talked about in your rental settlement, you’ll most likely have to execute a brand new lease settlement with the brand new purchaser of the property during which you might be staying on lease. Harsh Parikh, accomplice at Khaitan & Co, stated, “You need to keep in mind that such rent agreements should have adequate clauses to state that in case the licensor (landlord) desires to sell the flat, it would be subject to the rights of the licensee (tenant) under the rent agreement and that the new purchaser would execute a new agreement with the tenant on the same terms and conditions as the existing rental agreement.”

In different phrases, it signifies that the present lease settlement continues to stay legitimate and it depends upon the brand new purchaser and tenant whether or not or not they want to re-execute a contemporary lease tenancy settlement on the identical phrases and circumstances.

“You ought to also consider that the security deposit you have paid to the licensor is transferred to the new purchaser as it would then be the obligation of the new purchaser to refund the security deposit on expiry of the rent agreement,” stated Parikh.

It is, thus, necessary to learn and perceive the clauses talked about in your rental settlement as a result of if there’s a provision for termination of lease settlement on the switch of tenancy by the owner, then you definately may need to face hassle whereby as per the brand new settlement you may need to pay greater lease hastily.

Things a tenant ought to keep in mind earlier than taking a home on lease/ lease.

Verification of property

One ought to duly confirm earlier than taking a home on lease that the particular person providing the home is the rightful proprietor of the home. This could be achieved by checking the file of society regarding particulars of the proprietor or by contacting neighbours of the realm.

Utility Bills are cleared

“Before signing the lease, kindly be sure that all earlier utility payments comparable to electrical energy, water, upkeep expenses of society are paid updated by in search of a duplicate of the final paid payments from the owner,” stated Neha Gupta, principal affiliate, Athena Legal.

Availability of necessities

The tenant, whether or not residing individually or with household, ought to duly confirm that every one the important providers comparable to medical, financial institution/ ATM, market, are inside the shut neighborhood of the home in order that in case of emergency one can avail all providers readily.

No brokerage homes

Gupta stated, “One ought to strategy homes that are provided on lease immediately by the owner so that every one particulars about the home and different necessities comparable to water, electrical energy, gasoline pipeline, servant/maid and so forth. could be understood from the owner itself and improper data usually given by a dealer and brokerage expenses could be averted.”

Security verify

It is of utmost necessary to make sure that the home is secure to remain in each method and therefore the tenant ought to verify if the home is duly guarded and is in gated colony/society and the door has correct locks and all entrances to the home are correctly sealed or has grills in order that any incident of theft could be averted in future.

Subscribe to Mint Newsletters * Enter a sound e mail * Thank you for subscribing to our e-newsletter.