Owning rental property in Indiana means finding the right balance between tenant expectations and following state laws. A solid Indiana lease agreement is the key to helping you achieve this balance. Your lease will define how the tenant uses your property, when rent is due, and what happens when something goes wrong, so that both sides know exactly where they stand.
For landlords, taking time to create a lease agreement that’s clear and compliant can help prevent costly disputes down the road.
Disclosures (5)
Clear communication doesn’t just make good business sense — it’s the law. Indiana landlords are required to share specific information with tenants before they move in, such as the identity of the property owner and the current condition of the unit.
Including these details in your residential Indiana lease agreement helps establish trust early and can help protect you from legal issues later.
- Lead-based paint: For any homes built before 1978, Federal law requires that landlords disclose any known information about lead-based paint and its hazards.
- Name and address of landlord: A lease agreement in Indiana must include the name and contact information of the landlord and/or the agent managing the rental (Ind. Code § 32-31-3-18(a)).
- Smoke detector: Upon move-in, the tenant must sign a written statement acknowledging that the unit has a working smoke detector (Ind. Code § 32-31-5-7(a)).
- Flood zone: If the building’s lowest floor sits at or below the 100-year frequency flood elevation, the landlord must inform tenants that the unit is in a flood plain (Ind. Code § 32-31-1-21).
- Water and sewage disposal services: The landlord must inform tenants of any water and sewage disposal services offered (Ind. Code § 8-1-2-1.2).
Optional Disclosures and Addenda
Some optional disclosures can make property management easier. Adding details about pets, guest policies, or maintenance responsibilities helps create a smoother renting experience for everyone involved. A comprehensive rental agreement turns expectations into written clarity — and written clarity into fewer tenant misunderstandings.
Asbestos: Discloses any asbestos-related hazards that may be on the property, as well as suggestions to minimize exposure and risk.
Bed bugs: Informs tenants of any known or suspected bed bug infestation in the unit or adjacent units.
Late/returned check fees: Outlines fees regarding late or returned rent checks. In Indiana, there is no limit to what landlords can charge as a late fee. Returned check fees are capped at $25 per check.
Medical marijuana use: Details the policy regarding the use of medical marijuana in the unit or on the property, including any restrictions or limitations.
Mold disclosure: Informs tenants of any known mold issues in the unit, as well as treatment options for remediation.
Move-in checklist: Catalogs the condition of the unit at move-in, including any existing damages. Landlords use this checklist at move-out to assess any new damages and calculate any necessary deductions.
Non-refundable fees: Discloses any non-refundable fees in the lease to ensure they are enforceable.
Shared utilities arrangement: Outlines how the landlord will divide utilities costs, if any units share a meter.
Smoking: Details the smoking policy for the unit and on the property, including any designated smoking areas.
Consequences of Not Including Mandatory Disclosures
Leaving out required disclosures may seem minor until it becomes expensive. In Indiana, missing mandatory information can weaken your lease agreement and expose you to disputes or claims of noncompliance. The takeaway: it’s always easier to prevent a problem than to defend one later.
Security Deposit Regulations in Indiana
Security deposits protect Indiana landlords from damage or unpaid rent, but they’re also one of the most contested areas of rental law. Outlining these deposit terms clearly in your online lease agreement helps prevent confusion and provides a clear paper trail in case disagreements arise.
Maximum amount: Indiana law does not limit the amount that landlords can charge as a security deposit; however, the lease should clearly outline the deposit amount.
Deposit receipt: Landlords do not have to provide tenants with a written receipt for the security deposit in Indiana.
Security deposit return: A landlord must return a tenant’s security deposit, minus any deductions, within 45 days of the tenant moving out (Ind. Code § 32-31-3-12).
Deductions: Landlords are allowed to withhold deductions from the security deposit to cover damages caused by the tenant beyond normal wear and tear. If there are deductions, the landlord must provide an itemized statement of the charges to the tenant at move-out (Ind. Code § 32-31-3-13, Ind. Code § 32-31-3-12).
Rent Payment Regulations
Consistent rent collection is key to maintaining a profit in the rental business. Indiana doesn’t cap late fees, but it does require fair notice and transparency. Clearly outline your due dates, payment methods, and any applicable fees directly in your lease agreement, so tenants always know what to expect.
Rent control/stabilization: Rent control and stabilization do not exist in Indiana. However, there are some specific parameters in place that landlords must follow. For instance, landlords may not raise the rent in a way that is deemed retaliatory or discriminatory. Further, they must also wait until the end of a lease term to increase rent and give between 30 and 90 days’ notice, depending on the lease type.
Late rent fees: There is no limit to what landlords can charge as a late fee in Indiana, but they should clearly outline this fee in the lease agreement.
Grace period: Indiana law does not require landlords to offer a grace period to tenants for late rent payments.
Tenant’s right to withhold rent: Tenants may not withhold rent for any reason in Indiana.
Violations
When a tenant violates part of their lease or misses a rent payment, it’s essential to know how you should respond. Indiana landlords must follow specific procedures before taking further action. Knowing the steps to take helps ensure that you’re reacting legally and fairly.
Lease violation: If a tenant violates any portion of their lease, Indiana landlords may issue a Notice to Cure or Quit. Although the exact time is not specified, they must allow the tenant reasonable time to remedy the violation (Ind. Code § 32-31-7-7).
Missed rent payment: If a tenant does not pay their rent by the agreed-upon due date, the landlord may charge a late fee and/or issue a 10-day Notice to Pay or Quit (Ind. Code § 32-31-1-6).
Lease abandonment: If a tenant moves out before the end of their lease term, the landlord may receive continued rent payments from the tenant, as well as damages and legal fees (Ind. Code § 32-31-7-7(f)).
Self-help evictions: Indiana law prohibits all forms of self-help evictions, including changing locks, turning off utilities, violating the tenant’s right to privacy, and more (Ind. Code § 32-31-5-6(c)).
Terminating a Lease
Whether due to a nonpayment issue, lease violation, or simply a standard end-of-term notice, Indiana law outlines how and when landlords can terminate a lease.
Standard lease: To terminate a fixed-term lease without just cause, you must wait until the end of the lease term, at which point you do not have to give any notice to terminate the lease. Additionally, you do not have to give notice to terminate the lease if the tenant is intentionally causing damage to the property (Ind. Code § 32-31-1-8).
Month-to-month: Landlords must provide tenants with a written 30-day Notice to Terminate before ending a month-to-month rental agreement (Ind. Code § 32-31-1-1).
Property abandonment: If the tenant leaves belongings behind when they move out, landlords can obtain a court order to remove the items from the property and deliver them to a warehouse or storage facility. Landlords are not responsible for loss or damage to the property (Ind. Code § 32-31-4-2).
Renewing a Lease
Lease renewals provide stability, particularly with responsible tenants who pay rent on time and take care of the property. Indiana landlords who review market rates and send renewal notices early can often retain great tenants while adjusting terms for new costs or improvements. A simple renewal letter attached to a new lease agreement can extend a great partnership another year.
Notice requirements: If you do not intend to renew a month-to-month agreement, you must give your tenant at least 30 days’ written notice. For a fixed-term lease, you do not have to give notice if you do not intend to renew (Ind. Code § 32-31-1-1, Ind. Code § 32-31-1-8).
Required renewals: Indiana landlords are not required to renew a lease at the end of its term.
Landlord’s Access to Property
Even when landlords have good reason to enter a rental unit, tenant privacy still comes first. Indiana law allows access for inspections, maintenance, or emergencies, but only with reasonable prior notice. Respecting those boundaries builds trust and keeps your rental agreement running smoothly from one term to the next.
Immediate access: If there is an emergency, landlords can enter the property without giving notice (Ind. Code § 32-31-5-6(f)).
Notice requirements: Indiana landlords must give tenants reasonable notice before entering the property; however, state law does not specify the required notice period (Ind. Code § 32-31-5-6(g)).
Harassment: Landlords should take care to follow these guidelines, as repeatedly entering the unit without just cause or failing to give notice to the tenant can constitute harassment, which could even allow the tenant to break their lease early (Ind. Code § 32-31-5-6(g)).
