Rental agreements in Delhi: stamp duty and registration
Why most Delhi leases are for 11 months, what stamp duty applies, and what to include in the agreement.
A clear rental agreement protects landlord and tenant alike.
Why 11 months?
Under the Registration Act, a lease of one year or more must be registered. Many landlords therefore use 11-month agreements, which can be executed on e-stamp paper without registration.
Stamp duty
Rental agreements in Delhi are executed on e-stamp paper. For registered leases, stamp duty is a percentage of the average annual rent (plus any premium), which rises with the lease term. Short agreements are commonly executed on a nominal-value e-stamp.
What to include
- Names, property details and term
- Rent, due date and annual escalation
- Security deposit and refund terms
- Lock-in period and notice period
- Who pays maintenance, electricity and water
- Furniture and fittings list
- Rules on sub-letting and alterations
Before handing over keys
Complete tenant police verification.
Typical terms in South Delhi
- Security deposit: commonly two to three months' rent
- Annual escalation: often 5–10%
- Lock-in: often 6–12 months for both sides
- Notice period: one to three months
Furnished homes
List every item with its condition, and attach photographs. Fix the condition expected at handback, allowing for normal wear and tear.
Who pays what
Usually:
- Tenant: electricity, water, gas, internet
- Landlord: property tax and structural repairs
- Maintenance and lift AMC: negotiable
Renewals
Renew in writing before expiry, with the new rent and term. Repeated 11-month renewals are common; a registered longer lease gives both sides more certainty.
Frequently asked questions
Is an online rental agreement valid? An agreement on proper e-stamp paper, signed by both parties, is valid. Registration requirements depend on the term.
Can rent be paid in cash? Bank transfers create a clear record and are safer for both sides.
