Renting a flat or room: a checklist

General information, not legal advice. Laws, tax rates and local procedures change, and municipalities differ. Confirm with your ward or municipality office, or a lawyer, before you rely on them.

Renting is quicker than buying, but a few checks before you move in save months of trouble.

1. Know the full monthly cost

The rent is only part of it. Ask about:

• electricity: a separate meter or a sub-meter, and the rate per unit you'll be charged;
• water: municipal supply, boring or tanker, how often it runs short in the dry season, and who pays for tankers;
• internet, waste collection, parking for a car or bike, and any service or maintenance charge;
• the advance or deposit, and how many months are due up front.

2. Inspect before you agree

• Water: turn on the taps and flush the toilets; check the tank and the pressure on the upper floors.
• Damp and leaks: stains on ceilings and walls, a musty smell, mould in cupboards.
• Electricity: working sockets and switches, the meter, and backup power if any.
• Light and air: winter sunlight makes a big difference in Nepal's cold months.
• Kitchen: space and ventilation for a gas cylinder, and the drain.
• Safety and access: doors and locks, window grilles, stairs, the lane at night, and phone signal.
• House rules: guests, pets, gate times, cooking, and whether the owner lives in the building.

The law says a house that is unsafe to live in may not be rented out, and the owner must tell you about any structural weakness when you sign (Civil Code sections 384 and 387). Take dated photos of the condition, including any damage, and share them with the owner.

3. Put the agreement in writing

The Muluki Civil Code 2074 has a chapter on house rent (sections 383–405). The owner must make a written agreement with the tenant, although one is not legally required when the rent is Rs 20,000 a month or less (section 386); even then it is the simplest way to avoid disputes. If the rent is more than Rs 1 lakh a month, the agreement must be registered (section 464). It should include:

• the names, addresses and citizenship numbers of the owner and tenant, and where the house is (with its plot number);
• the purpose, start date and length of the rental (up to five years for a home, renewable);
• the rent, when and how it is paid, and when it may go up;
• the advance or deposit, and when and how it will be returned;
• the notice each side must give and how the tenancy ends;
• who pays electricity, water, phone and other charges, and the rent tax (see below);
• who pays for repairs: unless the agreement says otherwise, the law puts repairs on the tenant (section 394), so write down who fixes what;
• whether you may sublet;
• a list of the furniture and fittings included, which the owner prepares (section 388).

Your photo is attached, at least two witnesses from each side sign, and each side keeps a copy. More detail: Rental agreements and the law in Nepal.

4. Rent, receipts and tax

• Unless the agreement says otherwise, rent for a month is due within 7 days after the month ends (section 391).
• When you pay in cash, the owner must give you a receipt. Paying by bank or wallet leaves its own record.
• Rent tax is set and collected by the local government, under its own yearly finance act. For example, Lalitpur Metropolitan City's Finance Act 2082 sets it at 10% of the rent and asks owners to submit agreements where the rent is above Rs 20,000 a month. Ask your ward office for the local rule. Unless the agreement says otherwise, taxes on the rented house are the owner's to pay (section 392).
• Because the agreement records citizenship numbers and a photo, keep a copy of your ID and a photo ready.

5. Notice and moving out

• If you want to leave before the agreement ends because you no longer need the place, the Civil Code expects 35 days' written notice, unless your agreement sets a different period (section 400).
• The owner can end the tenancy only on grounds the law allows. For example, if they need the house for their own use, they must give 35 days' written notice and cannot let it to someone else for the next three months (section 401).
• Before you leave, settle the meter readings, walk through the flat with the owner, compare it with your move-in photos, and get the deposit back as the agreement says.
• If you cannot settle a dispute, the municipality's judicial committee hears house rent disputes worth up to Rs 25 lakh a year (Local Government Operation Act, section 47).

Don't pay several months' rent in cash without a receipt, and don't hand over a deposit before you have seen the flat and signed the agreement. Fake listings are covered in Avoiding property scams.

More tips: Renting a home: dos and don'ts for tenants. Letting out a place yourself? See Renting out your property: dos and don'ts for landlords.