What is a PG rental agreement?
A PG rental agreement is a short written agreement between the PG owner and the tenant. It records the rent, deposit, notice period, what is included and the house rules, so both sides know exactly what was agreed.
Some owners use a formal leave and licence agreement, which calls the parties "licensor" and "licensee". This generator uses plain Owner and Tenant wording that everyone understands. It still includes a clause making clear that the tenant only gets the use of a bed and shared facilities, not any right in the building, which helps the owner if a dispute ever comes up.
A quick story. Meena (an example) runs a 24-bed ladies PG in Pune. For years she took tenants on a handshake. Then one tenant left without notice, demanded her full deposit back and said the late fee was "never agreed". Meena had no paper to show. Since then, every new tenant signs a two-page agreement at check-in. It takes ten minutes, and she has not had a deposit argument since.
What a PG agreement should include
- Both parties: owner and tenant names, addresses and contact numbers.
- The bed and room: room number and sharing type.
- Period: start and end date. Many PGs use 11 months.
- Rent: amount, due date and late fee, if any.
- Security deposit: amount, and when and how it is refunded.
- What is included: food, Wi-Fi, water, housekeeping, and how electricity is charged.
- Notice period for both sides.
- House rules: gate timing, visitors, smoking, alcohol and cooking.
- ID proof and police verification.
- Signatures of both parties and two witnesses.
Stamp paper, notarisation and registration
- Stamp duty: rental agreements are usually printed on stamp paper, or e-stamped, for the value your state requires. The amount differs from state to state.
- Why 11 months: in most states, an agreement of 12 months or more generally has to be registered. That is why many PGs use 11-month agreements and renew them.
- Maharashtra: rental agreements (registered there as leave and licence agreements) must be registered, whatever their length. Registration can be done online.
- Notarisation: many owners get the agreement notarised for extra proof, but it does not replace registration where registration is required.
Rules change and differ by state. For your exact situation, check with a local lawyer or your state's registration department.
Tips for using this agreement
- Fill it in with the tenant at check-in, and give them a signed copy.
- Keep a copy of the tenant's ID proof with the agreement, and complete police verification.
- Give a receipt for every payment. Use our free rent receipt generator for that.
- Keep one rent due date for everyone. Our guide on how to collect PG rent on time explains why.
Managing many tenants?
Agreements are step one. PG ZONE keeps every tenant's details and documents in one place, sends automatic SMS rent reminders, creates receipts and shows who owes what, so the rules you write in the agreement are actually followed every month.
Frequently asked questions
Is this PG agreement generator free?
Yes. It is completely free, with no sign-up and no limit.
Is this agreement legally valid?
It is a standard PG rental agreement template that covers the usual terms for a PG stay. Whether it is enough in your case depends on your state's stamp duty and registration rules. It is not legal advice, so have a lawyer review it if you are unsure.
Can I edit the agreement?
Yes. Click "Download Word file" to get an editable copy you can open in Microsoft Word, Google Docs or WPS Office, and change any clause.
How do I save the agreement as a PDF?
Click "Print / Save as PDF" and choose "Save as PDF" as the printer. On a phone, use the share or print option that appears.
Is my data safe?
Everything runs in your browser. Nothing you type is uploaded to any server. Only your PG name, address, owner name and city are remembered on your own device, so you don't have to type them again. Click "Forget" to remove them.
Can I use it for a hostel or co-living?
Yes. Enter the hostel or co-living name in place of the PG name.
More free tools for PG owners
- PG Rent Receipt Generator: HRA-ready receipts, print or PDF on WhatsApp
- PG Rental Agreement Generator: a ready-to-sign PG rental agreement
- PG Business Profit Calculator: monthly profit, break-even and payback