Not every rental arrangement requires a long-term commitment. An Indiana month-to-month lease agreement gives landlords the flexibility they need to quickly respond to changing market conditions or tenant needs. This type of arrangement is designed to renew monthly and remains in effect until either party gives notice and terminates.
Disclosures (5)
Indiana requires fewer disclosures than some states, but landlords still need to share key information before the tenancy begins.
- Lead-based paint: Federal law says landlords must share any known information about lead-based paint and its hazards for homes built before 1978. They must also give tenants the EPA’s lead safety pamphlet.
- Name and address of landlord and/or agents: Indiana law requires landlords to share the name and contact information of the landlord or agent responsible for managing the property (Ind. Code § 32-31-3-18(a)).
- Smoke detector: When they move in, the tenant must provide a written statement confirming that the unit has a working smoke detector (Ind. Code § 32-31-5-7(a)).
- Flood zone: If a building’s lowest floor (including the basement) is at or below the 100-year frequency flood elevation, the lease template must disclose that the property is in a flood plain (Ind. Code § 32-31-1-21).
- Water and sewage disposal services: All leases must inform tenants of any water and/or sewage disposal services that the landlord provides (IC § 8-1-2-1.2).
Optional Disclosures and Addenda
While not required by law, these optional disclosures can clarify expectations and document details to help avoid any issues down the road.
Asbestos: Informs tenants of any known asbestos in the unit and gives tips for limiting or preventing exposure.
Bed bugs: Discloses any known or suspected bed bug infestations in the unit or adjacent units.
Late/returned check fees: Details the fees for late or returned rent checks. Indiana law does not limit the amount landlords can charge as a late fee. Returned check fees are capped at $25 per check.
Medical marijuana use: Details the rules regarding the use of medical marijuana in the unit.
Mold: Informs tenants of any mold in the unit and available options and treatments for remediation.
Move-in checklist: Outlines the unit’s condition at move-in, including any existing damage. Landlords can use this checklist at move-out to compare conditions and calculate deductions.
Non-refundable fees: Lists any non-refundable fees that landlords charge during the tenancy.
Shared utilities: If any of the units share a utility meter, or if landlords share utilities with one of the units, they must explain how they divide the charges.
Smoking: Outlines the smoking policy for the rental, including designated smoking areas on the property.
Additional Indiana Month-to-Month Lease Laws
Despite the flexible nature of the rental agreement, Indiana law continues to apply throughout the tenancy.
Notice to Terminate a Month-to-Month Agreement
Indiana law sets out the steps landlords or their tenants must take to terminate any month-to-month lease agreement.
Required notice for tenant: Tenants must provide at least 30 days’ written notice before terminating a month-to-month lease (Ind. Code § 32-31-1-1).
Required notice for the landlord: Landlords must also provide at least 30 days’ written notice to terminate a month-to-month agreement (Ind. Code § 32-31-1-1).
Laws Governing Rent Increases
While month-to-month leases allow landlords to adjust rent more often, Indiana law still requires advance notice.
Indiana does not have rent control or rent stabilization laws. This means landlords may raise the rent by any amount, as long as they provide proper written notice before the increase takes effect and the increase is not retaliatory or discriminatory.
Lease Violations and Eviction
Even with the best tenant, mistakes can happen from time to time. Here’s how landlords should handle common lease violations in the Hoosier State.
Missed rent payment: If a tenant fails to pay rent, the landlord may issue a 10-day Notice to Pay or Quit before filing for eviction (Ind. Code § 32-31-1-6).
Lease violation: For violations other than nonpayment of rent, landlords may give their tenant notice describing the breach and allow them time to correct the issue, depending on the lease terms and the nature of the violation (Ind. Code § 32-31-7-7).
Lease abandonment: If a tenant moves out before the end of their agreement, they may be entitled to continued rent payments from the tenant, and also damages and legal fees (Ind. Code § 32-31-7-7(f)).
Self-help evictions: In Indiana, self-help evictions are illegal. In order to evict a tenant, landlords must always go through the proper legal process.
Rent Payment Laws
Rent payment rules define how Indiana landlords enforce expectations from month to month.
Rent control/stabilization: Rent control and stabilization do not exist in Indiana. However, there are some specific guidelines that landlords must follow. As mentioned earlier, landlords may not raise the rent in a way that is considered retaliatory or discriminatory. They must also wait until the end of a lease term to increase the rent and give between 30 and 90 days’ notice, depending on the lease.
Late rent fees: Indiana law does not cap late fees, but landlords must charge reasonable amounts and clearly disclose them in the lease.
Grace period: Indiana law does not require landlords to provide a grace period unless the lease includes one.
Tenant’s right to withhold rent: In Indiana, tenants may not withhold rent for any reason, even if a landlord fails to maintain the property adequately.
Pet rent laws: Landlords may charge pet rent or collect pet deposits as long as the fee is reasonable and the lease template clearly outlines the charges.
Security Deposits
Indiana law sets straightforward rules for how landlords must handle security deposits.
Maximum amount: Indiana does not limit the amount a landlord may collect as a security deposit.
Deposit receipt: State law does not require landlords to provide tenants with a receipt, although it is best practice to do so.
Interest payments: Indiana law does not require landlords to pay interest on security deposits.
Security deposit return: Landlords must return the security deposit, minus any deductions, within 45 days after the tenant moves out (Ind. Code § 32-31-3-12).
Deductions: In Indiana, landlords may use funds from a security deposit to cover unpaid rent or for damages exceeding wear and tear. If they make deductions, the landlord must provide an itemized statement for the tenant at the time of move-out (Ind. Code § 32-31-3-12, Ind. Code § 32-31-3-13).
Property Access Laws
Landlords occasionally need to gain access to the property. Indiana law strikes a balance between protecting tenant privacy while also allowing access to maintain the rental.
Advance notice: Landlords must give tenants reasonable advance notice before entering the property. State law does not specify the exact length of the notice, however (Ind. Code § 32-31-5-6(g)).
Immediate access: Landlords may enter without notice in an emergency (Ind. Code § 32-31-5-6(f)).
Harassment: In Indiana, landlords may not abuse the right of access. State law can see this as tenant harassment, allowing a tenant to terminate the tenancy at will early without financial penalty (Ind. Code § 32-31-5-6(g)).