New Delhi (NVI) The Union Cabinet, chaired by Prime Minister Narendra Modi, today approved the Model Tenancy Act which seeks to overhaul the legal framework with respect to rental housing across the country.
The Model Tenancy Act was approved for circulation to all States/Union Territories for adaptation by way of enacting fresh legislation or amending existing rental laws suitably, an official release said.
“It will help overhaul the legal framework with respect to rental housing across the country, which would help spur its overall growth,” the release said.
The Act aims at creating a vibrant, sustainable and inclusive rental housing market in the country, it said.
“It will enable creation of adequate rental housing stock for all the income groups thereby addressing the issue of homelessness,” it said.
The Model Tenancy Act will enable institutionalisation of rental housing by gradually shifting it towards the formal market and facilitate unlocking of vacant houses for rental housing purposes, the release said.
“It is expected to give a fillip to private participation in rental housing as a business model for addressing the huge housing shortage,” it said.