Renting a House in Mumbai Make Your Rent Agreement This Way

Understanding how to make a rent agreement in Mumbai is essential for landlords and tenants. A well-drafted agreement provides clarity on key terms such as rent amount, security deposit, notice period, and maintenance responsibilities, thereby minimizing the risk of future disputes. Fortunately, Mumbai offers both online and offline options for creating legally valid rent agreements, streamlining what was once a cumbersome process into a secure and efficient transaction. This guide will walk you through every step, ensuring your tenancy is legally compliant under the Maharashtra Rent Control Act, 1999.

Types of Rental Agreements in Mumbai 

In Mumbai, the nature of the rental contract varies depending on the duration and enforceability. Unlike many other cities where an 11-month notarized agreement is standard, Mumbai heavily favors the ‘Leave and License’ format due to its strong legal protection for landlords against tenant overstaying.

Type of Agreement	Duration	Legal Requirement	Best For
11-month rental agreement	11 months	Mandatory to register in Maharashtra	Short-term stays; the most common format for residential rentals.
Long-term lease agreement	12 months+	Mandatory Registration	Commercial leases or long-term family residency.
Notarized agreement	Any duration	Not legally binding in court for rental disputes in Mumbai	Temporary proof; generally avoided for tenancy in Maharashtra.
Registered rental agreement	Any duration	Mandatory under Section 55 of the Maharashtra Rent Control Act	All residential and commercial rentals to ensure full legal protection.

Documents Required for Rental Agreement in Mumbai 

To process a rent agreement online or offline in Mumbai, both the landlord and tenant must provide specific identification and property documents to the registration authority.

• Aadhaar/PAN card, permanent address proof and passport-size photos of the tenant & owner
• Property documents/electricity bill
• Finalized details regarding rent amount, security deposit, tenure duration, and maintenance clauses.

How to Make a Rent Agreement in Mumbai? 

The process of creating a valid rental contract involves drafting, stamping, and registration. Understanding how to make a rent agreement in Mumbai step-by-step ensures compliance with state laws.

Step 1: Draft the Rent Agreement

Draft a clear rent agreement including the personal details of the landlord and tenant, about the property, the agreed rent, the security deposit amount, the duration of the tenancy, the lock-in period (if any), and the notice period required for termination.

Step 2: Choose Leave and License Format

In Mumbai, the “Leave and License” agreement is the preferred standard over a traditional “Lease” agreement. This format legally defines the tenant as a “licensee” granted permission to occupy the premises for a specific period, making eviction easier for the landlord if the tenant defaults, thereby offering better legal protection.

Step 3: Generate E-Stamp Paper

Physical stamp paper is replaced mainly by e-stamping in Maharashtra. You must pay the requisite stamp duty online through the Government Registration Portal (GRAS) or authorized vendors to generate the e-stamp challan, which is then attached to the agreement.

Step 4: Online Registration via e-Registration Portal

For an online rent agreement in Mumbai, the data entry is done on the Department of Registration and Stamps website. The draft is uploaded, and a biometric verification appointment is scheduled. 

Step 5: Sign and Register the Agreement

The final step involves all the parties giving digital signatures, along with two witnesses, and their Aadhaar-based biometrics. Once verified by the Sub-Registrar, the official registered rent agreement is generated and emailed.

Online Rent Agreement Registration in Mumbai 

The online rent agreement process in Mumbai has revolutionized property rentals, eliminating the need to visit the Sub-Registrar’s Office (SRO).

• Step 1: Enter all landlord, tenant, and property details into the government’s e-Registration portal or a service provider’s platform.
• Step 2: Book an appointment for a biometric executive to visit your home or office to capture fingerprints and photos.
• Step 3: The identity of all parties (including two witnesses) is verified instantly against the UIDAI database using their Aadhaar numbers.
• Step 4: Once the Sub-Registrar approves the verified document, the digitally signed registered rent agreement is emailed to both parties, usually within 3-4 working days.

Stamp Duty and Registration Charges in Mumbai 

The Stamp Duty and Registration Charges in Mumbai are fixed by the state government and are non-negotiable. Calculating these correctly is important to avoid rejection of the document. The costs involve Stamp Duty (a tax on the transaction) and Registration Fees (a service charge for the government record).

Charge Type	Applicable Amount
Stamp Duty	0.25% of the total rent for the period + non-refundable deposit.
Registration Fee	₹1,000 for urban areas (Municipal Corporation limits); ₹500 for rural areas.
Biometric/Service Charges	Approx ₹700 – ₹1,000 (charged by service providers for doorstep verification).
Drafting Charges	Varies based on professional service (Lawyer/Service Platform).

Common Clauses to Include in Mumbai Rent Agreement 

A robust Mumbai rent agreement online draft should include specific clauses that address the unique aspects of living in a bustling metropolis.

• Lock-in period: The minimum number of months the tenant must remain, during which they cannot terminate the agreement without penalty.
• Rent escalation: Clearly states the percentage increase in rent (typically 5% to 10%) upon renewal of the agreement.
• Maintenance charges: Clarifies who is responsible for paying society maintenance bills (usually the landlord) and utility bills (usually the tenant).
• Notice period: Defines the advance notice (usually one month) required by either party to terminate the agreement.
• Pet policy: Explicitly states whether pets are allowed in the apartment to avoid conflicts with housing societies.
• Repair responsibilities: Distinguishes between minor repairs (tenant’s cost) and major structural repairs (landlord’s cost).

Leave and License Agreement vs Rent Agreement in Mumbai 

While often used interchangeably, there is a legal distinction that affects rights and eviction processes. Most online rent agreement drafts in Mumbai are actually Leave and License agreements. [4]

Aspect	Leave & License	Rent Agreement (Lease)
Ownership Rights	No interest in the property is created; only permission to use is granted.	Creates an interest in the property; tenant has stronger statutory rights.
Eviction Process	Easier and faster for landlords under the Rent Control Act.	Difficult and time-consuming; tenants are protected against eviction.
Applicability	Standard for residential rentals in Mumbai (11 months to 5 years).	Rare for residential; used for long-term commercial leases.
Transferability	Not transferable to heirs or third parties.	Lease rights can often be inherited or transferred.

Police Verification for Tenants in Mumbai 

Police verification is a mandatory security measure in Mumbai that complements the rent agreement format in Mumbai to ensure safety.

• It is legally compulsory for landlords to inform the local police station about the new tenant.
• The Mumbai Police offers an online Tenant Information System that allows details to be submitted without visiting the station.
• It helps verify the tenant’s background and ensures they have no criminal record.
• Failure by the landlord to complete police verification is a punishable offense under Section 188 of the IPC.
• A copy of the registered rent agreement and the tenant’s ID proof are needed for this process.

How NoBroker Can Help with Rent Agreement in Mumbai?

Navigating the legalities of how to make a rent agreement in Mumbai can be complex, but NoBroker simplifies the entire journey. We offer a hassle-free online rent agreement service that covers everything from professional document drafting to stamp duty payment. Our service includes doorstep biometric verification and secure online registration with the government portal. With transparent pricing and full compliance with the Maharashtra Rent Control Act, NoBroker makes the process convenient, accurate, and secure for both landlords and tenants.

Frequently Asked Questions?