Rent Agreement in Maharashtra

September 24, 2025

In Maharashtra, renting a property—whether residential or commercial—requires a legally valid rent agreement. Unlike many other states, Maharashtra has specific rules for rent agreements, including the mandatory registration of leave and license agreements. If you are a landlord or tenant in Maharashtra, it is essential to understand the process, costs, and legal requirements for drafting and registering a rent agreement.

This blog provides a complete guide to rent agreements in Maharashtra, covering their importance, procedure, charges, and key points to remember.

What Is a Rent Agreement?

A rent agreement is a legal contract between the landlord (property owner) and the tenant (person taking the property on rent) that defines the terms and conditions of the tenancy.

In Maharashtra, rent agreements are commonly referred to as Leave and License Agreements, governed by the Maharashtra Rent Control Act, 1999.

Importance of Rent Agreement in Maharashtra

Legal Proof of Tenancy: Establishes a valid landlord-tenant relationship.
Defines Terms: Covers rent amount, duration, maintenance, and other conditions.
Protects Rights: Provides legal security to both landlord and tenant in case of disputes.
Mandatory Registration: Unlike many states where 11-month agreements may not be registered, in Maharashtra, registration is compulsory, even for 11-month agreements.

Types of Rent Agreements in Maharashtra

Leave and License Agreement (Most Common)
- Allows the tenant (licensee) to use the property for a specified period.
- Does not create tenancy rights but only grants permission to occupy.
- Easier for landlords to reclaim possession after the term ends.
Lease Agreement
- Creates tenancy rights and is usually for longer durations (more than 12 months).
- Less common due to strict tenant protection laws.

Procedure to Create a Rent Agreement in Maharashtra

1. Drafting the Agreement

The landlord and tenant mutually decide on terms like rent, deposit, duration, maintenance charges, and renewal conditions. The agreement is then drafted in the Leave and License format.

2. Use of E-Stamp Paper

In Maharashtra, agreements must be executed on e-stamp paper, which can be purchased online or from authorized centers.

3. Online Registration of Rent Agreement

The Government of Maharashtra has made it mandatory and convenient to register agreements through the Department of Registration and Stamps (IGR Maharashtra) portal.

The process involves:

Uploading the draft agreement.
Filling landlord, tenant, and property details.
Biometric verification of both parties (done online or at authorized centers).
Online payment of stamp duty and registration charges.

4. Completion of Registration

Once submitted, the digitally signed rent agreement is sent to both parties via email. This document has the same legal validity as a physically registered agreement.

Stamp Duty and Registration Charges in Maharashtra

The charges for rent agreements in Maharashtra depend on rent, deposit, and duration.

Stamp Duty:
- 0.25% of the total rent for the period + deposit amount.
Registration Fee:
- ₹1,000 for corporate entities.
- ₹500 for individuals.

Example:
If monthly rent is ₹20,000 and security deposit is ₹1,00,000 for 11 months:

Total Rent = ₹20,000 × 11 = ₹2,20,000
Add Deposit = ₹1,00,000
Total = ₹3,20,000
Stamp Duty = 0.25% of ₹3,20,000 = ₹800
Registration Fee = ₹500
Total Charges = ₹1,300

Documents Required for Rent Agreement in Maharashtra

For Landlord and Tenant:

Aadhaar Card
PAN Card (in some cases)
Passport-size photographs

For Property:

Ownership proof (electricity bill, property tax receipt, sale deed, etc.)

Key Clauses to Include in Rent Agreement

A well-drafted rent agreement in Maharashtra should include:

Names and details of landlord and tenant
Property address
Duration of agreement
Monthly rent and payment mode
Security deposit amount
Maintenance and utility charges responsibility
Renewal clause
Termination clause
Rights and duties of both parties

Advantages of Online Rent Agreement in Maharashtra

Convenient and time-saving
No need to visit the sub-registrar office
Biometric verification can be done at home
Digital copy with legal validity
Secure government-verified process

Final Thoughts

In Maharashtra, rent agreements must be registered irrespective of whether they are for 11 months or longer. The procedure is streamlined through the online system, making it easier for both landlords and tenants.

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