Renting Property in Mauritius – Valuable Information
In general renting a property in Mauritius is not too different to renting a property elsewhere in the world. We have put together a brief out line of what to expect, as always if you are un-sure it is advisable to contact us, or your attorney for further assistance.
Basically the same principles apply where a contract is signed between an Owner (landlord) and a Lessee (Tenant) often brought together by an estate agent (property consultant). The contract is compulsory and documents the terms and conditions which surround the leasing of the said property. The contract should include but not be limited to the following:
- The FULL name and address of the owner or his representative/agent.
- The lease commencement date.
- The length of the lease.
- The lease end date.
- The situation and description of the property (number of rooms, etc).
- The rental amount, frequency, payment date, conditions of payment and renewal conditions.
- The sum of the guarantee deposit, often referred to as security, if this is required.
- The type of use for which the property is intended.
- Basically the rights and obligations of the parties.
It is important to note that in order for a lease to become binding or carry weight there should be a consideration upon signature of the lease (money should change hands as documented in lease), normally this is achieved by the payment of the security deposit upon signature.
It is quite common when renting property in Mauritius to have an “escape clause” to benefit of both parties, this is also known as a “preavis” (French term), normal practice is to have a 3 month “preavis” meaning that should either party wish to cancel the lease they can do so by giving 3 months notice without giving reason nor being prejudiced in anyway. It is advisable to read this clause carefully before signing the lease, sometimes a fixed period of 6 months is set down before one is entitled to hand in this notice.
Inventory of the Property:
Have a comprehensive INVENTORY drawn up prior to entry/occupation – include all the fixtures, fittings and furnishings of the house (if furnished), where there are defects or damages to the property this should be clearly noted with dates and signatures of all parties, this can then be annexed to the lease contract.
Estate Agency Commission:
Most of the Estate Agencies in Mauritius require the equivalent of 1 (one) month plus VAT as payment for their services upon signature of the lease from both the landlord and the tenant. It is compulsory for Estate Agencies in Mauritius to be registered for VAT.
Additional Costs, insurance and services:
Be sure about who is responsible for what during the lease, include all details within the lease, the more detailed the better. Things like who is responsible for the gardening, pool cleaning, servicing of the generator or air-conditioning units can become “touchy” issue if not addressed upfront. Who is responsible for the insurance of the house and/or contents is another point worth addressing in the lease. Note: It is forbidden for an owner to oblige the tenant to use a specific company, the tenant may insure with a company of his or her own choice.
For further FREE advice contact us