Stable government in the center and better global economic prospects has meant that more numbers of jobs are now being created across India. This has led to flurry of paying guest apartments in several cities of the country, especially in metros, tier 2 and tier 3 towns. These days it is extremely easy to convert your home into paying guest accommodation (PG),however, you must judiciously follow the law of the state in which your property is based. In some cities like Chandigarh and Bangalore, it is mandatory to obtain a license to convert your apartment into PG and a failure to do so could lead to your property being sealed or summarily closed. Hence, before renting out your home, it is important for you to understand your lease. You can do so with the help of property lawyers or realty experts from online real estate portals like Housing.com who has recently launch the brand Look Up. This will help to avoid any trouble that could pop-up in future. In addition to this, here are some basic but important rules that you must adhere to before giving your flats for rent in chandivali for PG –
Pay the utility bills at commercial rate
It is important for you to know and differentiate the rent rules with PG rules. Once you convert your home into PG accommodation, it will be treated as a commercial property and you will have to pay all utility bills including the light, water and property taxes at commercial rates. Failure to do so can invite heavy penalty.
Obtainlicense for commercial LPG cylinders
The other critical part to be aware of is that you can no longer use the retail cylinders. This effectively means that the moment you start using your house for PG, you are not entitled for subsidized cylinders and you need to have license for commercial LPG cylinders. If you are found violating this rule, your subscription can be cancelled and you can also be fined.
Get the Police Verification done for all tenants
Some states in India have a mandatory police verification clause for tenant which means that you need to obtain a compulsory No Objection Certificate (NOC) from police for all your tenants. If you do not adhere to these rules, you can be subjected to heavy fines. It must be noted that mandatory Police NOC law is uniform and applicable for all kinds of lease across Mumbai,be it paying guest in chandivaliorflats for rent in chandivali.
Carefully draft the lease contract and have it scrutinized by experts
Lease contract is the most important part of a Paying Guest Apartment. As far as possible, take help of property experts from reliable web portals like Housing.com, to have these drafted. If not, at least get them scrutinized before finalizing the contract. It is critical for you to include all legally valid clauses in the lease contract as these would be helpful in case of any dispute in future. Some of the important points to be incorporated in your agreement for pg in chandivali include:
- Monthly rent and security deposit for accommodation
- Detailed list of inventory
- Complete information of the amenities offered
- Terms and conditions related to house rules, etc.
