Affordable Rental Housing For Migrant, Finance Minister Gives Push to Urban Poor

To relieve the real estate sector of some tension, Finance Minister Nirmala Sitharaman said that the government was extending a one-year extension to the CLSS or Credit Linked Subsidy Scheme which started in 2017 and ended on March 31, 2020. Until March 2021. This will help boost the demand for affordable housing.

The extension of the credit link subsidy scheme for a year will encourage many potential house buyers to buy houses, thereby increasing demand for affordable housing. There is currently a lot of untold inventory in the industry.

The mega-move will also help in maintaining employment as real estate is one of the largest labor intensive industries supporting around 200 allied industries. The proposed affordable rental accommodation under PPP is a welcome step. This will effectively help the issues of majority migrant laborers. Most of these urban poor live in miserable condition

Industry experts believe that the government's move to affordable housing in the last six years has been a great step forward. Its 'Housing for All by 2022' project has resulted in many soaps and incentives. In the last few years there has been a significant increase in buyer activities in the affordable segment.

Allowing new units and players to enter the affordable housing segment to build these rented dwellings, allowing manufacturing units and industries to take concessions and follow the same BOT model as road projects will do.

Karnataka minister announced no landlord should take rent during lockdown

R. Ashok, a revenue minister from Karnataka, said that landlords could not charge rent from tenants during the lockout. He said that action will be taken against the landlords if they force the tenants to vacate the property due to non-payment of rent.

"In this epidemic situation, action should be taken against the house owners in which owner can be imprisoned for up to one year or more under the National Disaster Management Authority," as he said.

However, if the order was not only for tenants belonging to economically weaker sections or people of the society, it did not make it clear.

Although the relationship between a tenant and an owner falls under the Karnataka Rent Control Act, 2001, the government may issue an amendment or an ordinance under the Act to chart instructions regarding collection of rent and eviction.

According to tax experts, Fiat can be challenged in court. Ashish K Singh, partner at law firm Capstone Legal, said, "In my opinion, the exercise of powers under the National Disaster Management Act for rent-related disputes would be challenged before the High Court or the Supreme Court." "It is clear that the NDMA's mandate does not cover the relationship between landlord and tenant."

The state government has taken cues from Singapore passing the COVID-19 Act 2020, which allows a tenant unable to pay rent and other dues under commercial leases from rental payment obligations for six months Seeks temporary relief.

According to property brokers, many prospective house buyers have postponed their plans to buy the property, which has boosted demand for rented houses in Bangalore.

Potential house buyers are expected to moderate prices and home loan rates.

You should know the difference between a Leave Agreement and License agreement and Rent agreement

If you are looking for a house for rent or a house is rented, then you must have come up with terms like leave and license agreement, and rent agreement.

Many people use these words thinking that it is the same things, but in reality, they are actually two separate documents and there are some important differences between them. Although in the end, they see the interest of both the landlord and the tenant, there are differences are:-

Property Ownership

In a leave and license agreement, the tenant cannot claim any ownership of the property because the agreement does not fall under the Rent Control Act of India. In this agreement, the owner licenses the property to the "tenant" and leaves the property.

When it comes to rental agreements, tenants can claim ownership of the property after living in the same place for at least 10 years. They can make this claim under the Rent Control Act of India. In this case, landlords have very limited options to vacate the tenant or increase the rent.

The leave and license agreement can be used anywhere in India as a valid address proof. It is a legal document that binds the licensor in terms of security amount, rent amount, length of stay, and other payments for the use of the property. These points cannot be changed once the agreement is signed by both parties. This is important for the tenant because it protects his rights to live there and his living conditions are clear.

A rent agreement that is registered grants the tenant some rights to the property. In Mumbai, many tenants are still paying Rs. 15 / month due to Rent Control Act and sitting on prime property. According to their rental agreement, as long as they pay the rent on time, they cannot be evicted. To avoid such a situation, execute the rental agreement only for 11 months. 11-Monthly rent agreement does not come under the Rent Control Act.

It is much safer to leave and license agreement for 11 months. After 11 months, the agreement should be renewed for the next 11 months. Limit your agreement to 11 months.

Rent Control Act

A leave and license agreement is governed by the Indian Relaxation Act, 1882. Here, it states that the owner leaves the property with various facilities; the same is given to the licensee for use while the owner is on leave for a specific period. Once the leave is over, and the owner returns, the licensee departs. When he leaves, it is his duty to leave the house in the same condition he was given.

He cannot make any major changes and that is all that should have been given with the property because the agreement is temporary. The property is to be used only for the activity that was originally mentioned or outlined in the agreement. For payment, a large amount is paid by the tenant at the beginning of the tenancy, and no monthly rent is paid thereafter.

In the Rent Control Act, the tenant takes the rented property from the landlord, paying a fixed amount as rent for commercial or residential use. Legally, the landlord cannot evict the tenant as long as the rent is being paid. The tenant pays a deposit and the monthly rent that was fixed in the agreement.

Rights of tenants and landlords

If you look at it, a tenant has far more rights and becomes more preferred when it comes to a rental agreement as it is regulated by rent control laws. They prevent landlords from overcharging, giving tenant’s greater right to own property.

A leave and license agreement is more landlord / owner friendly as in no case can their property be taken over by the tenant. There can be no major modification to their property.

If you need help with a rental agreement or leave and license agreement, leave it to the experts at SuGanta.com. We are here to make your documentation process easy and stress free.

Maharashtra Housing Department advises landlords to postpone rent collection for 3 months

In a month of April 2020 the Housing Department of Maharashtra issued a circular asking landlords and house owners to postpone the collection of rent in view of the lockdown situation for tenants for at least three months. It has also been said that landlords should not evict tenants for not paying rent during this period.

The circular signed by Housing Secretary Sanjay Kumar went viral on social media. Many zamindars are within a fixed range whether the government had the legal power to enforce it.

The lockdown has an adverse effect on people's income and employment. “Many people face difficult financial situations. A large number of people are not able to pay their regular rent. Therefore, recovery of rent should be postponed for at least three months and no tenant should be excluded for non-payment of rent, said in the circular.

The proposal is to be implemented with immediate effect. Issuers have gone well with landlords whose only source of income is rent. However, in the words of Housing Minister Jitendra Awadh, “Many people are experiencing economic difficulties as a result of the epidemic. The government has taken this step keeping in mind that it will be difficult for tenants to pay the rent in future.

Rents in Mumbai are skyrocketing and the move is a sigh of relief for the majority of tenants. Rajesh Prajapati, a member of the managing committee of the Housing Chamber of the Government of Maharashtra, said, "At the moment, the government feels that landlords are in a better position for economic devastation based on rental income." 

Benefits if you sell or list properties for rent online

Today, in this running world, where time is a hurdle and everything is available, just one click away, selling property is becoming quite popular online. Gone are the days when online mediums were only considered for shopping for clothes or accessories. However, the online medium is becoming very well known and engages consumers in buying, renting and selling properties in India and other parts of the world.

Online property portals are attracting everyone's attention, giving you the highest benefit of selling and buying without any hassle. They offer many options for people to buy and rent property. It is therefore advisable to list properties to sell or rent online. No matter where you live or a place to look for a property, property portals help you browse through the results from across the country and make you aware of your decision.

Here are some benefits that suggest you post your property now for free:

 

Sell ​​and acquire

Fast results and immediate cash are expected when selling property online. Listing the property online can result within a week of registration. The reason for this is that online listings on the Internet cater to a wider audience.

No fear of losing money

If you wish to cancel the property and have not taken the PIN or voucher generated online to the builder for further action, you can claim a full refund. Portals also provide the facility to post your property for free. Thus you can sell your property without spending anything.

Online booking

One can post a property addition online and make a booking from house. With various online payment modes and gateways, today you can sell your property online and receive payments very quickly. And if you are worried about your credentials and details online, do not be. Just make sure, online portals are reliable followed by a secure payment gateway. Those who are considered safe to give your information.

Out of options

An online property portal gives you lots of options to view. Yes, most developers and even their agents and brokers list properties to sell or rent online to ease your worries. You can choose the best option for you.

Specific research forbuyers

All information is available on such portals, from cities to locations, especially for the project with its specification and configuration and pricing details. You can also compare two plans or two localities as per the requirement and then arrive at your purchase decision.

Discounts and offers

In the current scenario, some portals are offering many great deals and offers to buyers, as well as convenience to sellers. From the registry, discounts on the original price of the property, and stamp duty-free, car, and parking free, various offers are available online when booking your property.

Some useful tips forselling property online:

• Make sure you are ready to sell, once you have a contract with an agent or lawyer or a list of properties to sell or rent online, you will usually end up with a fixed-term contract are committed. Otherwise, it may prompt you to pay the defaulter fee. 
• Clarify your demands and the characteristics of the property that any buyer is pre-qualified. There is no need to waste time to show property to someone who cannot afford it.
• Get a fair valuation, and then do not acquire the property.
• Make sure it is ready to show, or be seen. If it is empty land then get rid of weeds or litter. 
• If it is a flat, apartment or business location, make sure it is in good repair. 
• When a house or house is involved, make sure it is clean and tidy.
  

  SUGANTA REALTY SERVICES LLP