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Rent amount to house owner

(Querist) 25 October 2013 This query is : Resolved 
Me and My wife was looking for a flat on rent in Malviya Nagar, Delhi.

We had identified a flat which rent was 22 thousand per month and given 10 thousand as a token amount to the house owner on 15th Oct 2013.

After 10 days, Me and My wife met with House owner again with property dealer (though which we had identified flat) and cancelled the flat deal due to some personal reason.

Now House owner and property dealer are asking to give full one month rent

or

To give rent for a number of days till other person not select his flat within one month period and 5 thousand rupees as dealer charge additional.

We agree to pay rent of ten days only, because we had identified flat but we did not use that even for one day.

So the asking amount of house owner is not right.

I would like to know expert advice on this, so that I can take action accordingly.

Devajyoti Barman (Expert) 25 October 2013
For mere identification of flat no rent is to be paid.
Only if rent agreement is made then only you are liable for rent.
Advocate M.Bhadra (Expert) 25 October 2013
Rent is post occupied charges after using the house, but one month advance rent may be given to the house owner on the duly signed Rent Agreement and acknowledge receipts by the owner.

A Lease or Rent Agreement is covered by respective rent control laws. The amount of rent that can be charged is based on a formula devised by the local executive, legislative or judicial government, as the case maybe. For Delhi, the maximum annual rent is 10% of the cost of construction and the market price of the land, but the cost of construction and the price of land are both based on historical values and not the current market valuation. So the older your property, the smaller the rent you can charge. Rents can only be increased by a fraction of the actual cost the landlord has incurred in improving the property.

The Lease Agreement transfers the right of ownership to the tenant for an indefinite period of time, which can be problem because it encourages the tenant to claim the right to permanent occupation. In numerous cases, tenants have refused to vacate. When brought to court, these cases can take 10 to 20 years to dispose off.

Therefore most landlords prefer a Lease and License Agreement. This agreement only grants the tenant a license to occupy the property for a period of 11 months, with an option for periodic renewal. Because the rent control laws (which are largely in favor of tenants) only apply for lease agreements of at least 12 months, establishing an 11-month agreement serves as a pre-emptive measure.
krishna kant dubey (Querist) 25 October 2013
Thank you for your valuable advice one more query

So should I request to house owner to give my token amount back to me?

Devajyoti Barman (Expert) 25 October 2013
You have not clarified whether any rent agreement is made or not.
If yes, then you have to abide by its terms which would determine the liability of respective parties.
Rajendra K Goyal (Expert) 25 October 2013
If no rent / lease agreement was executed, You can demand but in general the token money is not paid back in practice. Legally proceeding would be costly time consuming and difficult to prove hence uncertain.
R.K Nanda (Expert) 25 October 2013
u can ask for refund of token amount from house owner.
Raj Kumar Makkad (Expert) 25 October 2013
It is difficult to legally get back the token amount, however, you can try for it with social pressure.
krishna kant dubey (Querist) 25 October 2013
I would like to thank you all one more time.
Devajyoti Barman (Expert) 26 October 2013
you are welcome.


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