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PG Rent Agreement Template — Everything Indian Hostel Owners Must Include (2026)

A tight PG rent agreement prevents 80% of disputes. This guide walks you through every clause an Indian PG owner should include — from deposits and notice periods to house rules, GST, and dispute resolution.

Parties and property description

Name every party in full — owner, tenant, and any guarantor. Include Aadhaar-based identity verification and the exact bed/room ID the tenant is occupying.

Never lease "a bed in the hostel" — lease a specific bed ID (e.g. Floor 2, Room 205, Bed A). It prevents future disputes about who paid for which sharing type.

Rent, deposit, and payment terms

Specify: monthly rent amount, billing date, deposit (1.5× recommended), acceptable payment modes, late-payment fee structure, and refund conditions.

Always mention GST separately if you're registered — bundling it into rent causes accounting mess later.

Notice period and vacation terms

30-day written notice is the Indian standard. Also specify: how notice is served (email/WhatsApp counts), what constitutes early termination, and the deposit-forfeiture policy for no-notice exits.

House rules

Cover: visitor policy, curfew (if any), alcohol/smoking, noise hours, kitchen use, laundry, guest stays, and use of common areas. Attach as Annexure A so you can update rules without redoing the whole agreement.

Damage and deposit forfeiture

Photograph the bed and room on move-in day. Attach photos to the agreement. Define what constitutes fair wear vs. damage — chipped paint is wear; a broken door is damage.

GST, TDS, and tax clauses

If you're GST-registered, mention GSTIN and specify that GST is added on top of rent. Include a clause allowing you to invoice GST-compliant receipts.

Dispute resolution

Specify jurisdiction (city of the hostel) and preferred resolution mode (mediation → arbitration → court). This prevents forum-shopping if disputes escalate.