• Pagdi house

The Pagdi house is on my mother's name. She passed away in March 2018. We are three married daughter and our father is still alive. We are planning to transfer the house on my elder sister's name (who is married). But landlord is saying that we have to pay 40% of the property value to transfer to her name. Please suggest what should be the best option.
Asked 6 years ago in Property Law
Religion: Hindu

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11 Answers

Dear,

- In pagdi house system rented residential house property should n't be sub let without

permission of landlord.

- No specific charges prescribed for transfer of tenancy rights.; that is mutually agreed between

landlord and tenet.

- For transfer of name in rent receipt , court order is essential.

- So in your case landlord is charging 40% of the property value is wrong.

Tarun Agarwal
Advocate, Jaipur
769 Answers
3 Consultations

on mother demise your father is deemed tenant as he was staying in same premises

2) ask landlord to transfer tenancy rights in his name . submit NOC in his favour

3) under Mahrashtra rent act your father would be a deemed tenant . if landlord refuses to accept your father as tenant you would need court orders to direct landlord to transfer tenancy rights in your father favour

4) no need to pay 40 per cent of property value to landlord

5) dont transfer house in sister name at present

Ajay Sethi
Advocate, Mumbai
96942 Answers
7822 Consultations

1. In pagadi system, when a tenant dies in the tenanted premises, then the family members of the tenant who were living and residing with the tenant at the time of his death in the tenanted premises, automatically become deemed tenants of the pagadi flat.

2. if your elder sister was living in the pagadi flat at the time of your dad's demise in the pagadi flat, then she is entitled to tenancy right in the flat.

3. however if she had already married an shifted to her matrimonial house before the demise of your father, then she cannot claim any tenancy rights.

4. even if she was living in the tenanted premises at the time of demise of your dad and later on she gets married and moves to her matrimonial house, she loses her claim over the tenancy right

5. in your case, it will be altogether a new transfer of tenancy right and not transfer by devolution i.e. transfer of tenancy which happens due to demise of original tenant in favour of the legal heir/s

6. so your landlord is entitled to demand transfer fee from you

7. strangely there is no maximum limit specified in the rent act upto which the landlord can charge transfer fee

8. however as per custom, the landlord can usually charge at the most 30% of the property value towards the transfer fee

9. so you will have to negotiate hard with your landlord

10. if nothing fruitful comes out, your father still remains tenant of the flat till he is alive.

Yusuf Rampurawala
Advocate, Mumbai
7679 Answers
79 Consultations

Since your father was residing in the said flat at the time of the death of your mother , then your father would be entitled to the tenancy rights of the said flat. Under the law, whosoever was residing with your mother at the time of her death he/she would get the tenancy rights. Therefore your father gets the tenancy right. The landlord would transfer rent receipt in name of your father. But if you want your sister's name on the rent receipt then your landlord can take a final call on that.

It is wrong on your landlord to ask you to pay 40% of the price of the property. Because there is no ownership on the pagdi flat. There is only landlord-tenant relationship and you pay rent to the landlord on a pre-arranged basis.

Gowaal Padavi
Advocate, Mumbai
1920 Answers
5 Consultations

Dear Client,

No need to give any value to LL. Execute release/relinquishment deed in favor of elder sister. This way she will become absolute owner of the house. Than issue letter to LL, to transfer house and issue rent receipt in the name of Elder Sister. If Land Lord don`t, no effect.He will be held legally not u .

Yogendra Singh Rajawat
Advocate, Jaipur
22991 Answers
31 Consultations

The landlord should not insist for any transfer charges as it is being transfer between blood relations.

Moumita Mitra
Advocate, Kolkata
366 Answers
1 Consultation

Hi, you can transfer your tenancy rights through gift deed ..there is no need to pay 40 percent to the landlord

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

There are certain local laws in regard to the same.

We need to go by the judgements to give you the precise result.

There may be percentage may be not as somewhere Pagdi i system if valid somewhere not.

Sanjay Baniwal
Advocate, South Delhi
5476 Answers
13 Consultations

Landlord cannot charge any such amount for transfer of Rent Receipt in your elder sister's name. Kindly make a Joint-Affidavit of NOC (signed by your father, you and other sister) in favor of your elder sister. I have the necessary format ready with me.

Kiran Kamthe
Advocate, Thane
27 Answers

Generally the transfer amount is 33% only and some owners take 35%.

You bargain and negotiate the amount.

Actually, even if it is pagdi system property, in the legal meaning it is a rented premises, therefore only tenancy rights are protected to one year and ther are no ownership rights at least not legally maintainable.

T Kalaiselvan
Advocate, Vellore
87142 Answers
2339 Consultations

General norm is 35 to 40 percent transfer amount is taken by landlord. You can surrender the room to landlord still he will take the amount for transfer.

Prashant Nayak
Advocate, Mumbai
32479 Answers
201 Consultations

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