In India, a stamp on the rental agreement is necessary as per state laws. This stamp paper serves to legally validate the rental contract between a landlord and a tenant. It acts as tangible proof of the agreement's existence, resolving any possible disputes. The significance of stamp paper lies in its function as a medium to authenticate legal documents like rental agreements. It ensures that the terms agreed upon by both parties are documented and enforceable under law. The value of the stamp paper varies across states and depends on factors such as the duration of the lease and the total rent amount over the lease period. Before drafting the agreement, both the landlord and the tenant must sign it on this stamp paper. In some cases, the agreement may need to be registered with the local sub-registrar office for added legal protection.
