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Difference between Rental Agreement and Lease Deed

Rental Agreement and Lease Deed

 

Clause

Lease Deed

Rental Agreement

Meaning

This is a contract defined under Section 105 of the Transfer of Property Act, of 1882. They are for a longer period of time.

This does not greatly differ from the Lease Deed in terms of features and clauses. They are for a shorter period of time.

Term

A standard lease is for a period of 11 months.

A rental agreement is usually on a month-to-month basis.

Renewal

A lease is renewed with mutual consent and a new deed is registered to the same effect.

A rental is an automatic renewal on payment of monthly rent.

Terminology

A lease is entered into between Lessee and Lessor.

A rental agreement is between a Landlord and a Tenant.

Maintenance

It is the responsibility of the Lessee to maintain the property.

It is the responsibility of the Tenant to maintain the property.

Tax

All taxes are payable by the Lessor.

All taxes are payable by the Landlord.

Amendments

No amendments can be made after the deed is signed.

Changes can be made anytime the Landlord chooses

 

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