No Arbitrary Hikes: Can Rent Be Increased Before 11 Months? Here’s What Maharashtra Law Says
No Arbitrary Hikes: Can Rent Be Increased Before 11 Months? Here’s What Maharashtra Law Says
With rising rent burdens in Indian cities, tenants need to know their legal rights.
In urban centres like Mumbai, Delhi, and Bengaluru, renting has become a common reality for millions. However, as rent prices continue to rise, many tenants face undue pressure from landlords who increase rents annually, sometimes without following proper legal procedures. Amid such concerns, it’s crucial to understand the laws governing rent hikes, especially in Maharashtra.
Renting a home, especially in major cities, is often more practical than purchasing one—particularly for salaried individuals who have to relocate for work. But this has also led to an increase in cases where landlords arbitrarily raise rents. To protect tenants, laws have been put in place that landlords must follow.
Can landlords raise rent before 11 months?
If you’ve signed a rental agreement for a fixed period, typically 11 months or one year—the landlord cannot increase the rent during that period unless the contract specifically mentions a scheduled hike. Most agreements include a clause for a 10% annual increase, which is considered legally valid. Any rent hike outside the terms mentioned in the agreement is not permitted.
Moreover, in many states, including Maharashtra, landlords are required to give prior notice before raising the rent. Failing to do so is considered illegal.
What does the Maharashtra Rent Control Act say?
Under the Maharashtra Rent Control Act, effective since March 31, 2000, landlords can raise the rent by a maximum of 4% annually. If the landlord has undertaken repairs, renovations, or improvements to the property, an additional increase is allowed but even then, it cannot exceed 15% of the total cost of the construction work.
In summary, rent increases must follow legal limits, include proper notice, and be based on what’s written in the rental agreement. Tenants in Maharashtra and elsewhere are advised to be aware of their rights to avoid unjustified financial burden.
