Key Recent Changes in Rent Control or Rental Laws 2025
Home Rent Rules 2025 A big reform on a national (or wide) scale is happening via “Home Rent Rules 2025” Security Deposit Cap: For residential properties, security deposits are capped at 2 months’ rent (metro) / limited, per the new rules. Rent Increase Limit: Annual rent hikes are more controlled -suggested to be in the 5 to 8% range depending on inflation, local indices, etc. Notice Period for Hikes / Tenant Protections: There must be a proper notice (3 months mentioned in some commentary) before hikes. Written Agreements Mandatory: New tenancy agreements should be in writing, clearly specifying rent, deposit, maintenance, duration, renewal, etc. Eviction Safeguards: Eviction becomes more regulated - landlords need documented cause, and due process is emphasized. Digital Registration / Stamping: All rental agreements must be digitally stamped via authorized platforms. Non-compliance may attract fines (~₹5,000 mentioned). Dispute Resolution: New rent authorities / tribunals are proposed / strengthened — aiming to resolve disputes within 60 days. Habitability / Maintenance: The rules emphasize landlord responsibility for structural integrity (plumbing, electrical) and give tenants some rights to report and act if things are not maintained. Tax / TDS Changes: TDS exemption limit on rental income is raised: earlier TDS was a burden for landlords; now amount up to certain rent (₹6 lakh/year) may be exempt. Rental Income Classification: From April 2025, rental income is to be classified as “income from housing property” under Section 28 (Income Tax), simplifying reporting. References ClearTax. (2024). Rent Control Act: Rental agreements, rights of tenants and landlords. ClearTax. https://cleartax.in Deccan Herald. (2024). Karnataka Rent Act: Tenants who sublet without landlord’s consent will attract Rs 50,000 fine. Deccan Herald. https://www.deccanherald.com MyGate. (2024). All you need to know about security deposits and refund clauses: Model Tenancy Act & 2025 updates. MyGate. https://mygate.com NCS Kochi CampusCare. (2025). Home Rent Rules 2025: Major reforms to protect tenants and empower landlords in India. NCS Kochi CampusCare. https://ncskochicampuscare.in NRIWay. (2025). Home Rent Rules 2025: Key updates for tenants and landlords. NRIWay. https://nriway.com Sairam Law Associates. (2023). Your complete guide to the Karnataka Rent Act, 1999: Know your tenant rights. Sairam Law Associates. https://www.sairamlawassociates.in
