The Excessive Security Deposit
A landlord asking for an unusually high security deposit is a major red flag. In cities like Bengaluru, demands could historically go up to 10 months' rent. However, the Model Tenancy Act, 2021, which many states are adopting, caps security deposits at a maximum
of two months' rent for residential properties. An exorbitant deposit ties up your funds and can be difficult to recover. Always question a demand that exceeds two to three months' rent and ensure the exact amount is clearly stated in your agreement. A landlord who is rigid on a very high deposit may be planning to make unfair deductions later.
Vague or Unfair Maintenance Clauses
Look out for vague phrases like "maintenance as applicable" or clauses that make the tenant responsible for "all repairs". This is a classic trap. Legally, the landlord is responsible for major structural repairs, while the tenant handles minor, day-to-day upkeep like fixing a tap washer or replacing a fused bulb. Your agreement must clearly distinguish between the two. A fair clause will specify that structural issues, plumbing blockages, and electrical faults are the landlord's cost to bear. A clause shifting all repair liabilities onto you is not only unfair but often legally questionable.
Ambiguous Rent Increase Terms
The agreement must clearly state how and when the rent can be increased. A landlord cannot raise the rent mid-agreement unless there is a specific escalation clause allowing it. Many agreements specify an annual increase, typically between 5% and 10%, which applies upon renewal. Beware of clauses that say rent will be revised "as per market rate" without a specified cap. The Model Tenancy Act also mandates a written notice period of at least three months before any rent revision can take effect. If your agreement is silent on hikes, the landlord cannot legally enforce one until the term ends.
The One-Sided Lock-In or Notice Period
A lock-in period prevents either party from terminating the agreement for a set duration. This is fair only if it applies to both you and the landlord. A red flag is a clause that locks you in for, say, six months, but allows the landlord to evict you with just 30 days' notice. Similarly, check the notice period for vacating. A standard notice period for a residential property is 30 to 60 days for both tenant and landlord. An unfair agreement might require you to give two months' notice while allowing the landlord to give only 15 days. Insist on a mutual notice period to ensure fairness.
No Clarity on Deposit Refund
The security deposit is the most common source of landlord-tenant disputes in India. Your agreement must not only state the deposit amount but also specify the exact timeline for its refund after you vacate. A vague clause like "deposit will be returned after inspection" is a red flag. Insist on a clear timeline, such as "within 30 days of handing over possession". The agreement should also detail the specific conditions for deductions (e.g., unpaid bills, damages beyond normal wear and tear). A landlord must provide an itemised list of any deductions made.
Unrestricted Landlord Entry
Your rented flat is your private space. While a landlord has the right to inspect the property, they cannot enter whenever they please. A clause allowing the landlord to enter the premises "at any time" or "without notice" is a violation of your right to privacy. The Model Tenancy Act specifies that a landlord must give at least 24 hours' written notice before entering a tenant's premises, and the reason for the visit must be legitimate, such as for repairs or inspection. Ensure your agreement reflects this basic right.
