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New Delhi: India’s Home Rent Rules 2025 are set to transform the rental ecosystem with sweeping reforms that redefine the rights and responsibilities of landlords. The Centre has issued a revised Model Tenancy framework that states must adopt or incorporate into existing rent control laws, since housing remains a state subject.
The new rules introduce mandatory digital registration, stringent caps on deposits and rent hikes, clear limits on landlord entry, and faster eviction processes, all aimed at creating a more transparent and predictable rental environment.
All tenancy agreements must be digitally stamped and registered online within 60 days of being signed. States are upgrading their portals to facilitate faster verification. Failure to register can invite penalties beginning from Rs 5,000 and may render the agreement legally weak, increasing the risk of disputes or fraud.
Security deposits for residential properties are now capped at two months’ rent, while commercial spaces may collect up to six months’ rent. Any deductions at the end of tenancy must be supported with photographic proof to prevent arbitrary claims.
Rent can be revised only once a year, with a maximum increase of 5 per cent plus CPI, capped overall at 10 per cent. Landlords must provide at least 90 days’ written notice before revising the rent. These measures curb unpredictable hikes and ensure proper documentation of rent changes.
While landlords retain the right to inspect their property, they must follow strict protocols. A written notice must be given 24 hours in advance, and visits can only occur at reasonable hours. Surprise checks, harassment, or frequent intrusive visits can be challenged before the Rent Tribunal.
Landlords stand to benefit from expedited eviction proceedings. A default of three months’ unpaid rent can trigger fast-track hearings before Rent Tribunals, which are required to resolve cases within 60 days.
For rentals above Rs 5,000 per month, digital payment is mandatory, ensuring a clear transactional record that can support both parties in case of disputes.
Whether executed digitally or on paper, every tenancy agreement must be formally documented and registered online within the 60-day window. Without this, both tenants and landlords risk legal complications.
The Home Rent Rules 2025 aim to modernise India’s rental market by encouraging accountability, reducing litigation, and promoting trust between landlords and tenants.
