Tag : house

Types of rental contracts

Have you decided to rent a house of room? Congratulations on your first step! But now comes the hardest part. Where do you begin? What kind of house or room do you want to rent and are there any scams that you have to keep in mind? Yes, unfortunately there are many types of scames in renting in India.  There are always people who will try  to make easy money. Usually those scams have something to do with the contract you sign. Here are some tips on rental contracts.

Always sign a contract. There are landlords who do not want to make a contract in the first place and let you pay your monthly rent in cash. This might seem very casual and friendly but it is not. If something goed wrong you do not have any rights and the landlord could kick you out whenever he wants. You also need a contract so you can proof you have a permanent adress.

There are two types of rental contracts. Contracts that are up to twelve months and contracts that have a minimum of twelve months. The contracts up to twelve months benefit the landlord because it gives him more rights. If you have a contract that has a minimum of twelve months you will have more rights because you will be covered by rent control laws. This means for example that rental ownership is transfered to the tenant fora n indefinate period of time. This can cause a lot of trouble for a landlord when a tenant refuses to move out.

Before you sign on check whether you have a contract for a maximum of twelve months or a minumum of twelve months. Then you will know what kind of rights you have while renting.

The disadvantages of renting

There are plenty of advantages when it comes to renting a home. If you are not sure for how long you are staying in a specific location or when you simply don’t have the money to buy a place, then renting is often a perfectly acceptable alternative. Other advantages of renting are that you won’t have to worry about structural maintenance and you can always leave when the situation of your income or job changes.

However, there are also some noteworthy disadvantages of renting that you will have to take into consideration. One of the main disadvantages of renting a home is that it is not very stable. Your landlord is allowed to remove you based on any infraction and they can also decide to raise the rent making it impossible for you to continue paying your rent. Another disadvantage of renting is that you won’t benefit if the value of your house or apartment goes up. Moreover, all the money you spend on paying your rent is not being invested in long term security nor are you building up any savings.

On a more personal level a disadvantage of renting is that there are often many regulations that prevent you from feeling truly home. If you’re not allowed to paint the walls or change the furniture you will feel as if you’re living in someone else’s place. There also apartments that do not allow smoking or animals. A bad relationship with your landlord can also add to negative feelings.

Before deciding on whether to buy or to rent a home, it is worthwhile to evaluate both the ups and the downs of both options.