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ARTICLE · 16 JUNE 2021

Model Tenancy Act, 2021

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The tenancy will be valid for a period as agreed upon between the landlord and the tenant and as specified in the tenancy agreement.

IndiaReal Estate and Construction

Introduction of the Model Tenancy Act, 2021:

The Union Cabinet, on June 2, 2021, approved the Model Tenancy Act, 2021 ("Tenancy Act") for circulation to all States and Union Territories for adaptation by way of enacting fresh legislation or by suitably amending the existing rental laws. According to the Government's press release, the Tenancy Act aims at "creating a vibrant, sustainable and inclusive rental housing market in the country" to promote creation of adequate rental housing availability for all income groups. More so, the Tenancy Act is intended to overhaul the Indian legal framework in relation to rental housing and institutionalise rental housing by creating a Rent Authority (i.e., an officer appointed under the Tenancy Act) for reporting renting arrangement.

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