Understanding the House Rent Law in Bangladesh

Renting residential premises in Bangladesh is governed primarily by the Rent Control Act of 2001 and the Residential Premises (Ready for Occupation) Rent and Eviction Rules of 2018. These legal provisions seek to balance the interests of landlords and tenants by regulating rent levels, ensuring basic living standards, and defining fair eviction procedures.

Key Provisions of the Rent Control Act

1. Controlled vs. Uncontrolled Premises

   • Controlled premises are buildings constructed before 2001 or specifically notified by the government, where rent increases and eviction are strictly regulated.

   • Uncontrolled premises—typically newer constructions—allow landlords and tenants to negotiate rent freely, subject only to general contract law and public policy.

2. Standard Rent and Rent Increase

   • For controlled premises, the Act sets a “standard rent” based on factors such as construction cost, location, and age of the building.

   • Landlords may apply to the Rent Control Tribunal to adjust rent every two years, but increases cannot exceed prescribed limits.

3. Security Deposit and Advance Payment

   • Tenants typically pay an advance deposit equivalent to a few months’ rent; the Act does not cap this amount but requires it to be reasonable.

   • On termination, the landlord must return the deposit, adjusted for any unpaid rent or damage beyond normal wear and tear.

Rights and Responsibilities of Tenants

• Right to Habitability
  Tenants are entitled to a home that meets basic safety and sanitation standards. Landlords must maintain structural soundness, water supply, and electricity connections.

• Protection against Unfair Eviction
  Eviction of controlled-tenancy tenants requires a valid ground—such as non-payment of rent, illegal structural changes, or recovery of premises for personal use—and a court order.

• Subletting and Transfer
  Tenants may sublet or transfer tenancy only with landlord’s written consent. Unauthorized assignments may constitute grounds for eviction.

Obligations and Protections for Landlords

• Proper Registration
  Landlords are advised to register tenancy agreements in writing, detailing rent amount, payment schedule, duration, and deposit terms.

• Maintenance
  While tenants handle minor repair works, landlords remain responsible for major structural and utility-related maintenance.

• Legal Recourse
  In cases of default or breach, landlords may file a suit before the Rent Control Tribunal rather than ordinary civil courts, ensuring faster resolution.

Role of the Rent Control Tribunal

The Tribunal is a specialized forum entrusted with determining rent disputes, eviction petitions, and claims for compensation. Its procedures are designed to be more expedited and cost-effective than regular court proceedings.

Recent Reforms and Challenges

The 2018 Rules introduced clearer definitions for “ready-for-occupation” premises, streamlined eviction procedures, and mandated periodic publication of standard rent schedules. Despite these reforms, challenges persist: delays in Tribunal hearings, informal tenancies lacking proper documentation, and rising demand for urban rental housing.

Conclusion

The house rent law framework in Bangladesh aims to protect both tenants and landlords through regulated rent adjustments, secure tenancy rights, and a specialized Tribunal system. Prospective tenants and property owners alike benefit from clear written agreements and awareness of their legal rights under the Rent Control Act and associated Rules, contributing to a more stable rental market.