Rental Rights Under Scrutiny

India’s rapidly evolving rental housing market continues to expose the gap between legal rights and on-ground practices. A recent dispute involving an alleged forfeiture of a ₹55,000 security deposit after a landlord discovered a tenant was living with her unmarried partner has once again brought rental agreements, tenant privacy and deposit protection into sharp focus.

According to the tenant, she had rented the apartment in her own name while her unmarried male partner was also staying with her. She alleged that she had informed the broker about the living arrangement before moving in but was advised to present herself as the sole occupant during the rental process.

“The broker suggested I portray myself as the sole inhabitant of the rented house. I tried to do this for the entirety of the rental agreement,” she wrote.

The tenant claimed the issue surfaced when the landlord visited the property. Following the visit, she was allegedly asked to vacate the apartment before the end of the tenancy.

She further alleged that during the confrontation she agreed to forgo her ₹55,000 security deposit simply to end the dispute. However, she later questioned whether she had any legal remedy to recover the amount. She also stated that a second broker refused to refund a brokerage fee of ₹12,000 after the proposed lease renewal did not materialise.

“I just wanted the discussion to end,” the Redditor wrote, adding that she had lived in the apartment for only five months of an 11-month tenancy because both she and her partner were largely working from home.

According to the tenant, the landlord had initially indicated that she would not have to pay the following month’s rent if a replacement tenant was found. Despite that assurance, she remained concerned about losing both the security deposit and the brokerage amount.

Describing the sequence of events, the tenant wrote:

“The wife owns this apartment and she came to inspect first. Told her the female friend visits and the second setup belonged to her. At this point she started to act like a total victim and demanding 10k per month for all the months my female friend had been here. Her husband however, never said anything unnecessary and asked me her details and told me they would discuss this. The wife on the other hand, was acting rabid.”

The tenant further stated:

“Right as they were leaving, I came clean and told them it was my male partner and not a female friend. All hell broke loose after this, what ensued was a bunch of typical insults from her directed at me. They asked me if the broker knew and I told them that Broker A knew. Then owner tells me because I lied they will not return my deposit of 55k and I would have to pay rent of 29k next month despite being asked to leave on 31st of July.”

A Sensitive Rental Issue

Real estate professionals note that renting homes to unmarried couples continues to be a sensitive issue in several Indian cities. While there is no law prohibiting consenting adults from living together, landlords and housing societies often follow their own occupancy preferences and internal policies, resulting in disagreements over tenancy approvals.

Industry experts also point out that practices vary widely across locations. In some neighbourhoods, landlords are comfortable renting to unmarried couples, while in others, resident welfare associations or housing societies discourage such arrangements, creating uncertainty for both tenants and property owners.

Security Deposits and Legal Position

Property consultants emphasise that a security deposit is primarily intended to cover legitimate dues such as unpaid rent, property damage or other contractual liabilities. It cannot ordinarily be withheld merely because a landlord disapproves of a tenant’s personal relationship or living arrangement, unless the tenancy agreement specifically provides for such action and it is legally enforceable.

Likewise, any deductions from a security deposit should be supported by the terms of the registered lease agreement and backed by valid reasons. Disputes relating to deposits, brokerage refunds or tenancy conditions are generally determined on the basis of contractual obligations, documentary evidence and applicable state laws.

Closing Insight

The incident reflects the changing realities of India’s urban rental market, where evolving lifestyles increasingly intersect with traditional housing practices. It also underlines the importance of transparent communication between landlords, brokers and tenants, supported by clearly drafted tenancy agreements. As rental housing becomes more dynamic, balancing individual rights with contractual responsibilities will remain essential to reducing disputes and strengthening trust across the sector.

By Sana Khan
Executive Editor,
Realty Quarter – Mumbai