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Building on the Model Tenancy Act (MTA) and recent Union Budget provisions, the Home Rent Rules 2025 aim to create a structured and predictable rental framework.
All rent agreements must be registered within two months of signing. (Photo Credits: X)
As more Indians move into rental homes and commercial spaces, the government has introduced the New Rent Agreement 2025 to simplify the rental process, standardise agreements, and ensure faster resolution of disputes. Building on the Model Tenancy Act (MTA) and recent Union Budget provisions, the Home Rent Rules 2025 aim to create a structured and predictable rental framework.
Under the new Act, all rent agreements must be registered within two months of signing, either online through state property registration portals or at the local registrarās office. Failure to register can result in a Rs 5,000 penalty.
Key Changes For Tenants
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Mandatory Registration: Agreements must be formally registered within two months to avoid penalties.
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Capped Security Deposits: Deposits are limited to two monthsā rent for residential properties and six months for commercial spaces.
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Predictable Rent Hikes: Any increase in rent must follow prescribed rules and require advance notice.
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Fair Evictions: Eviction procedures are clearly defined, ensuring tenants cannot be asked to leave abruptly.
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Faster Dispute Resolution: Special Rent Courts and Tribunals have been established to resolve disputes within 60 days.
This was detailed in a viral video on Instagram.
A user commented, āBengaluru landlords are going to cry now.”
Another wrote, āShowed this to my landlord. My landlord says this is AI.”
āOutside every government office thereās a board. Giving and taking bribes is a criminal offence,” read a comment.
Someone shared, āFYI. Itās not applicable for agreements under 11 months.”
Benefits For Landlords
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Higher TDS Exemption: The TDS threshold for rental income has increased from Rs 2.4 lakh to Rs 6 lakh per year, improving cash flow.
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Simplified Tax Reporting: Rental income now falls under āincome from housing propertyā.
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Quick Action On Non-Payment: Cases involving three or more missed rent payments can be escalated to Rent Tribunals for faster resolution.
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Incentives For Property Upgrades: Landlords who maintain affordable rents or add energy-efficient improvements may be eligible for tax benefits under state schemes.
How To Register Your Rent Agreement
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Visit your state property registration portal.
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Upload ID proofs of both parties.
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Fill in rent details.
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E-sign and submit the agreement.
A team of writers at News18.com bring you stories on whatās creating the buzz on the Internet while exploring science, cricket, tech, gender, Bollywood, and culture.
A team of writers at News18.com bring you stories on whatās creating the buzz on the Internet while exploring science, cricket, tech, gender, Bollywood, and culture.
Delhi, India, India
November 18, 2025, 07:00 IST
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