Can I add custom clauses to my rent agreement?

Yes! Both parties can add custom clauses as long as they are mutually agreed upon and don't violate any laws. Our generator includes a custom clauses field.

Are verbal agreements legally binding?

Verbal agreements can be legally binding but are very difficult to enforce. Always get everything in writing.

How many clauses should a rent agreement have?

A good rent agreement typically has 10-15 clauses covering all important aspects. Our templates include the most essential clauses.

10 Essential Rent Agreement Clauses Explained — Pakistan

Why Clauses Matter

Every clause in your rent agreement serves a specific purpose. Understanding these clauses helps both parties know their rights and obligations clearly, preventing disputes down the road.

1. Rent Amount & Payment Terms

This clause specifies the exact monthly rent, payment due date, accepted payment methods, and any late payment penalties. Be specific — "PKR 30,000 payable by the 7th of each month via bank transfer" is better than just "thirty thousand rupees."

2. Security Deposit

Covers the deposit amount, conditions under which deductions can be made, and the timeline for refund after vacating. A well-written clause protects both parties.

3. Duration & Renewal

States the start date, end date, and whether the agreement auto-renews. Most Pakistani agreements are for 11 months to avoid registration requirements in some provinces.

4. Maintenance & Repairs

Defines who is responsible for what type of maintenance. Typically, structural repairs are the landlord's responsibility, while interior maintenance falls on the tenant.

5. Utility Payments

Specifies who pays for electricity, gas, water, internet, and any society maintenance charges. This clause prevents confusion about recurring costs.

6. Subletting Restriction

Most agreements prohibit subletting without the landlord's written consent. This protects the landlord from having unknown occupants in their property.

7. Termination & Notice Period

Defines how either party can end the agreement and the required notice period (typically 30-60 days). This gives both parties time to make alternative arrangements.

8. Annual Rent Increase

Specifies the percentage increase upon renewal (usually 10%). Having this in writing prevents disputes when renewal time comes.

9. Property Use Restriction

Ensures the property is used for its intended purpose — residential or commercial. This clause protects the landlord against unauthorized use.

10. Dispute Resolution

Specifies how disputes will be resolved — through mutual discussion, mediation, Rent Controller, or civil courts. This clause provides a clear path for conflict resolution.