Rent Renewal Agreement: Format and Example

What is Rent Renewal Agreement Format?

A Rent Renewal Agreement is a legal document that extends the periods of a rental lease or renews the terms of a rental lease between the landlord (Lessor) and tenant (Lessee). A Rent Renewal Agreement creates a new lease period with or without updated terms and ensures clarity for both parties. It is a legal document binding on both parties and reflects information like the name and address of both parties, the address of the rented property, past rental agreement reference, updated rent and lease periods, etc. A rent renewal agreement serves various purposes including rent adjustment, changes in the number of persons residing, pet-related clauses, addressing ambiguities, and adjusting terms of occupancy.

Geeky Takeaways:

• A Rent Renewal Agreement is a legal document that extends the period of occupancy at the same old terms or new terms of the rental lease.
• It is an agreement between the landlord and the tenant that serves as proof of rental lease.
• The purpose of renewal is to extend or renew the period of tenancy or to update the the terms of tenancy.
• A Rent Renewal Agreement is binding on both parties and violation of the agreement is subject to legal action.

Purpose of Rent Renewal Agreement

1. Extending the Tenure: A Rent Renewal Agreement aims to extend the period of tenancy at the approval of both parties. This imparts stability to both parties.

2. Updating the Terms: A rental lease is renewed when either of the parties wants to update to change the terms mentioned under the original rent agreement.

3. Rent Adjustment: Any changes in rent amount, date of payment, or method of payment lead to a renewal of the rent agreement.

4. Changes in Occupancy: A Rent Agreement is renewed by both parties if the number of tenants residing in the property changes. Any addition or deduction in several tenants leads to the renewal of the agreement.

5. Addressing Ambiguities: A landlord can demand renewal of the rental agreement to clarify any unclear points or missing information from the original lease agreement.

How to Renew Rent Agreement?

A Rent Agreement can be renewed in either of the ways:

I. Offline Method to Renew Rent Agreement

• Buy a ₹100 stamp paper and print all the terms and conditions of the lease.
• The stamp paper then shall be signed by both parties along with a witness.
• Visit the Notary Public with a duly signed stamp paper and other documents.
• Get the stamp paper attested and signed by the Notary Public for renewal of the agreement.

II. Online Method to Renew Rent Agreement

• Visit any real-estate platform online and select the Renew Agreement option.
• Fill all the necessary information.
• The request is processed within a few days and the clients are notified via emails and SMS.

Rent Renewal Agreement Format

A format Rent Renewal Agreement is structured in the a way to provides the follwing information:

1. Date: Date of Renewal of the Agreement.

2. Parties Information: Complete information of both parties including name, detailed address, and contact details.

3. Information of Original Rent Agreement: Information of Original Rent Agreement like date, tenure, expiry date, consent of both the parties to renew the agreement, and terms of the original agreement.

4. Updated Terms and Conditions: The renewed agreement shall inform about the renewal term and other clauses like rent amount, security amount, maintenance responsibilities, pet clause, termination clause, etc.

5. Signatures: Lastly the agreement is duly signed by both the parties along with the witness.

Example of Rent Renewal Agreement

Rent Renewal Agreement – FAQs

Do I need a Rent Renewal Agreement?

While not always mandatory, a Rent Renewal Agreement is highly recommended for both landlords and tenants for security and stability purpose.

Who initiates the Rent Renewal Agreement process?

Typically, the landlord initiates the conversation about renewal before the original lease expires. However, either party can bring it up if interested in extending the tenancy.

How long does a Rent Renewal Agreement typically last?

The renewal term can vary depending on negotiation, common durations are 6 months, 1 year, or sometimes longer.

What should I do after signing the Rent Renewal Agreement?

Keep a signed copy of the agreement for your records and provide a copy to the landlord as well. Familiarize yourself with the terms of the renewal, especially regarding rent payment deadlines, maintenance responsibilities, and termination clauses.

What are some reasons a Rent Renewal Agreement might be voided?

A Rent Renewal Agreement could be voided if it contains illegal terms that violate local tenancy laws or fair housing regulations. It’s always a good idea to consult with a lawyer.