Indiana remains one of the most landlord-friendly states in the U.S. regarding rent increases, but there are important procedures and protections tenants should understand as they navigate the rental market in 2025.
No Statewide Rent Control
- Indiana does not have statewide rent control laws. This means there is no cap or maximum limit on how much a landlord can increase rent when a lease ends or for month-to-month tenancies.
- Most cities, including Indianapolis, Fort Wayne, and South Bend, do not have local rent control ordinances. The vast majority of Indiana tenants are subject to market-driven rent increases.
- A small number of local ordinances exist, such as in Bloomington, which limits rent increases to 10% within a 12-month period, but these are rare exceptions.
Proposed Legislation for 2025
- In early 2025, House Bill No. 1162 was introduced in the Indiana General Assembly. If passed, this law would cap rent increases for certain rental units at the lesser of:
- 5% plus the percentage cost of living increase, or
- 10% of the lowest gross rental rate charged for the unit in the previous 12 months.
- The bill would also limit landlords to two rent increases per year for the same tenant and require written notice for each increase.
- As of April 2025, this bill has only been introduced and has not become law. Tenants should monitor legislative updates for any changes.
Notice Requirements for Rent Increases
- Month-to-Month Leases: Landlords must provide a minimum of 30 days’ written notice before increasing rent.
- Fixed-Term Leases: Rent cannot be increased during the lease term unless the lease specifically allows it. Increases typically occur at lease renewal, with 90 days’ notice being common, though the lease may specify a different period.
- Notices must be in writing, clearly stating the new rent amount and the effective date. Verbal or informal notices are not legally valid.
Legal Protections for Tenants
- Discrimination: Landlords cannot increase rent based on race, religion, sex, disability, familial status, or national origin as protected by the Fair Housing Act.
- Retaliation: Rent increases in retaliation for a tenant exercising their legal rights (such as reporting code violations) are illegal.
- Lease Terms: Any rent increase must comply with the terms of the existing lease. If a lease prohibits mid-term increases, the landlord must wait until renewal.
What Tenants Should Do
- Review Your Lease: Understand what your lease says about rent increases, notice periods, and renewal terms.
- Check Local Ordinances: While rare, some cities may have additional protections or limits.
- Keep Written Records: Ensure all communications about rent increases are documented in writing.
- Seek Help if Needed: If you believe a rent increase is illegal or retaliatory, contact local housing authorities or seek legal assistance.
Key Takeaways for 2025
| Topic | Indiana Law (2025) |
|---|---|
| Statewide Rent Control | None (no cap on rent increases) |
| Local Rent Control | Rare; most cities have none |
| Notice for Month-to-Month | 30 days’ written notice required |
| Notice for Fixed-Term | Typically 90 days at renewal (check lease specifics) |
| Discrimination/Retaliation | Increases for these reasons are illegal |
| Proposed Cap (HB 1162) | Not law as of April 2025; would limit increases to 5% + COLA or 10% |
In 2025, Indiana tenants face no statutory limits on rent increases, except in rare local cases. Landlords must provide adequate written notice, and increases cannot be discriminatory or retaliatory. Proposed legislation may change these rules in the future, so tenants should stay informed and seek assistance if they believe their rights are being violated.
Sources:
- https://www.hemlane.com/resources/indiana-rent-control-laws/
- https://legiscan.com/IN/text/HB1162/id/3040249/Indiana-2025-HB1162-Introduced.pdf
- https://www.steadily.com/blog/how-much-can-a-landlord-raise-rent-in-indiana
- https://www.doorloop.com/blog/how-much-can-a-landlord-raise-rent
- https://www.steadily.com/blog/rent-increase-laws-regulations-indianapolis-in
