The Model Tenancy Act 2021 has been approved by the Union Cabinet.The decision was taken at a cabinet meeting chaired by Prime Minister Narendra Modi.
States and Union Territories will have to make new rental according to this act.Alternatively, the existing laws may be amended following its provisions.This new law will make it possible to change the legal rules for house rents across the country.
The draft law was released by the central government in 2019.
Its main objective is to make the housing sector sustainable and integrated.It makes rental housing available to all income groups and meets the shortage.
It provides opportunities for those looking to rent out homes.There are currently 1.1 crore vacant houses available in the country.
Under the latest law, houses and commercial complexes cannot be rented without a written agreement.
The maximum rent is two months for residential housing and a maximum of six months for non-residential housing.This applies to both urban and rural areas.
No structural changes can be made to a rented building without the written consent of the landlord.Tenants will have to bear the cost of any items that are damaged.
