Almost every rental agreement in Bengaluru is made for 11 months, printed on e-stamp paper, signed by landlord and tenant, and never registered. That is legal, as long as the stamp duty is paid and the term really is under a year. Once a lease runs for a year or more, it has to be registered at the sub-registrar office, and an unregistered one loses most of its value in court.
The agreement (ಬಾಡಿಗೆ ಕರಾರು) matters more than people think. When a tenant refuses to leave, or a landlord refuses to return the deposit, the first thing a lawyer or judge reads is this document.
Why 11 months
The reason is the Registration Act, 1908. Section 17(1)(d) makes registration compulsory for a lease of immovable property from year to year, for any term exceeding one year, or reserving a yearly rent. Section 107 of the Transfer of Property Act says the same: such leases can be made only by a registered document.
A lease for less than a year does not have to be registered. So landlords and tenants choose 11 months, renew it every year on fresh stamp paper, and avoid a trip to the sub-registrar.
Two things follow from this.
- If you sign for two or three years, or for 11 months with an automatic renewal that in effect makes it longer, you need to register it.
- An unregistered document that had to be registered cannot be used in court as proof of the lease terms, though it can be looked at for limited, collateral purposes. A landlord with a five-year unregistered lease may find that the lock-in clause he relied on cannot be enforced.
The Karnataka Rent Act and written agreements
The Karnataka Rent Act, 1999 says no one may let or take on rent premises covered by the Act except by an agreement in writing (Section 4). The Act does not apply to many modern rentals. Among other exclusions, it does not cover premises whose rent is above ₹3,500 a month in the city areas listed in its First Schedule, or buildings for 15 years after they are built or substantially renovated. Most flats rented in Bengaluru today are outside it, and their tenancy is governed by the agreement and the Transfer of Property Act.
The Karnataka Rent (Amendment) Act, 2025 (Karnataka Act 7 of 2026) replaced imprisonment under the Rent Act with money penalties, decided by the Rent Controller. It did not change the grounds of eviction or deposit limits.
You may read online that deposits in Bengaluru are now capped at two months’ rent. That limit is in the central Model Tenancy Act, 2021, a model law that states may adopt. As of this writing, the deposit you agree with the landlord is still a matter of contract for most Bengaluru rentals.
Stamp duty on a rental agreement in Karnataka
Stamp duty on leases is set by Article 30 of the Schedule to the Karnataka Stamp Act, 1957. For a short residential lease it is a small percentage of the rent, with different rates for longer terms and for commercial premises. Pay it by buying an e-stamp certificate for the correct article and amount before signing.
Some points that affect the amount:
- The term of the lease. Longer leases attract a higher rate.
- The rent and any premium or money advanced in addition to rent.
- The security deposit. In a 2025 decision, the Karnataka High Court held that a refundable security deposit is not “money advanced in addition to rent” under Article 30(c), so duty is not charged on it. A non-refundable advance is different.
Underpaying duty is a false saving. If the agreement is produced in court, it can be impounded, and the court will ask for the deficit duty and a penalty before relying on it.
When and how to register
Register the agreement if the lease is for a year or more, or if you want the stronger protection of a registered lease, for example for commercial premises or a long lock-in.
Registration is done at the sub-registrar office for the area where the property is. You start the application on the Kaveri online portal, upload the draft and pay the stamp duty and registration fee, then book a slot. Both landlord and tenant, or their attorneys under a valid power of attorney, appear with ID proof, and photographs are taken at the office. Ask the office in advance about witnesses and any other papers it needs for your type of document.
Clauses to read before you sign
The standard broker’s format leaves out a lot. Check that the agreement covers:
| Clause | What to look for |
|---|---|
| Rent and due date | Amount, date, mode of payment, and the account it goes to |
| Security deposit | Amount, when it is refunded, and what can be deducted |
| Painting and cleaning | A fixed amount or actual cost, so the whole deposit does not vanish |
| Lock-in period | Whether either side can leave early, and the penalty |
| Notice period | Usually one or two months, from either side |
| Rent increase | When and by how much on renewal |
| Maintenance | Who pays the apartment association charges, BESCOM and BWSSB bills |
| Repairs | Which repairs the landlord handles and which the tenant does |
| Use | Residential only, number of occupants, pets, subletting |
| Inventory | A signed list of fittings, appliances and furniture with their condition |
Photograph the flat on the day you move in, and keep rent receipts or bank transfer records. In deposit disputes these matter more than anything else.
Getting the deposit back
If the landlord does not return the deposit after you vacate, send a written demand, then a legal notice. If that fails, you can file a civil suit to recover it, or follow our steps on money recovery. Your agreement and the move-out photographs are your main evidence.
Questions people ask
Is an 11-month rental agreement valid without registration?
Yes. A lease for less than one year does not have to be registered under the Registration Act. It must still be on properly stamped paper.
Is registration of a rental agreement compulsory in Karnataka?
It is compulsory for a lease of one year or more, a lease from year to year, or one that reserves a yearly rent. Agreements for under a year need not be registered.
What is the stamp duty for a rental agreement in Bangalore?
It is set under Article 30 of the Karnataka Stamp Act and depends on the term, the rent and any non-refundable advance. A refundable security deposit is not charged, following a 2025 Karnataka High Court ruling. Check the exact amount when you buy the e-stamp.
Is there a cap on security deposit in Bangalore?
Not for most rentals. The two-month cap often quoted online comes from the Model Tenancy Act, 2021, which Karnataka’s 2025 amendment to its Rent Act did not bring in.
Can a landlord evict a tenant before 11 months?
Only as the agreement allows, usually by giving the agreed notice. If the tenant does not leave, the landlord has to go to court. See tenant eviction in Bengaluru.
Talk to us about your matter
Call or WhatsApp to fix a time. Bring your papers to the office in Rajarajeshwari Nagar.
This article is general information about the law as it stood when it was written. Your facts change the answer. Speak to an advocate before you act on it.