How to become a landlord in Indiana

If the lowest floor of the structure is at or below the 100-year flood elevation, the lease must clearly disclose that it is in a flood plain. For a lease entered into or renewed after June 30, 2023, of property in a state area of interest near a military installation, the lease must say so and that local laws may restrict use and development of the property. You must also give the tenant, in writing, the names and addresses of an Indiana manager and agent, and have the tenant acknowledge a working smoke detector at move-in (Ind. Code § 32-31-1-21; Ind. Code § 32-31-1-21.1).

• The flood plain test and the maps it relies on are covered under flood disclosure (Ind. Code § 32-31-1-21).See Flood disclosure on the Indiana page
• The manager and agent disclosure is covered under owner and manager identity (Ind. Code § 32-31-3-18).See Owner and manager identity on the Indiana page
• The smoke detector acknowledgment is covered under smoke alarms (Ind. Code § 32-31-5-7).See Smoke alarms on the Indiana page
• A lease of more than three years must be recorded in the county recorder's office within 45 days after it is signed, or it is void against a later good faith buyer, lessee or mortgage lender (Ind. Code § 32-31-2-1; Ind. Code § 32-31-2-2).

At or before the start of the rental agreement, you or the person who signs for you must give the tenant, in writing, the name and address of a person residing in Indiana who is authorized to manage the unit, and of a person residing in Indiana, reasonably accessible to the tenant, who may accept service of process and receive notices and demands for the owner. One person may fill both roles (Ind. Code § 32-31-3-18).

• A person who fails to make the disclosure becomes the landlord's agent for service and notices and for performing the landlord's obligations (Ind. Code § 32-31-3-18(c)).
• If the names and addresses are not disclosed at the start, the tenant may recover the expenses reasonably incurred to find them (Ind. Code § 32-31-3-18(d)).
• The duty binds any later landlord, owner or manager (Ind. Code § 32-31-3-18(b)).

If the lowest floor of the structure, including a basement, is at or below the 100-year flood elevation shown by the Department of Natural Resources, FEMA's Flood Insurance Rate Maps or FEMA-approved local flood plain maps, you must clearly disclose in the rental agreement that the structure is in a flood plain. This applies to agreements entered into or renewed after June 30, 2009 (Ind. Code § 32-31-1-21).

• The rule covers residential, agricultural and commercial rental agreements (Ind. Code § 32-31-1-21(a)).

Each dwelling must have at least one functional smoke detector outside each sleeping area near the bedrooms and on each additional story, including basements and habitable attics. You, your manager or your rental agent must install the required detectors and repair or replace one within seven working days after written notice that it needs it (Ind. Code § 22-11-18-3.5(c), (e)).

• When you deliver the unit, you must have the tenant acknowledge in writing that it has a functional smoke detector, and the smoke detector law cannot be waived in the lease or a separate writing (Ind. Code § 32-31-5-7).
• Detectors may be battery operated or hard wired, must be accessible for servicing, and must be tested by the occupant at least once every six months (Ind. Code § 22-11-18-3.5(d)).
• The tenant must keep each detector working and not disable it, replace batteries as needed, and give you notice if a hard-wired detector is not working (Ind. Code § 32-31-7-5(6)).
• No one may tamper with or remove a smoke detector except for maintenance (Ind. Code § 22-11-18-3.5(f)).
• A landlord commits a Class B infraction (Class A after a prior violation) by violating the smoke detector law when delivering the unit, or by failing to repair or replace an inoperable hard-wired detector within seven days after written notice sent by certified mail, return receipt requested (Ind. Code § 22-11-18-5.5).

Indiana's landlord-tenant law sets no general lock or rekeying requirement. Its lock rule is for a tenant protected by a court order: on the tenant's written request with a copy of the order, change the locks and give the tenant a key within 48 hours, or within 24 hours if the restrained person is a tenant of the same unit (Ind. Code § 32-31-9-9; Ind. Code § 32-31-9-10).

• The tenant reimburses your actual cost. If you miss the deadline, the tenant may change the locks, you reimburse the tenant's actual cost, and the tenant gives you a key within 24 hours (Ind. Code § 32-31-9-11).
• When the restrained person is a co-tenant, you may not give that person access unless the order allows a visit to collect belongings, and you are immune from liability for excluding them under the order; they stay liable for rent and damage under the lease (Ind. Code § 32-31-9-10(c) to (e)).
• Changing the locks to keep a tenant out without a court order is an unlawful lockout (Ind. Code § 32-31-5-6(c)(1)).See Lockouts and utility shutoffs on the Indiana page

Indiana does not cap the amount of a security deposit. A security deposit includes a required prepayment of rent other than the first full rental period, rent charged in any period above the average rent for the term, and any other money returnable to the tenant when the unit is returned in the condition the lease requires (Ind. Code §§ 32-31-3-9 to 32-31-3-19).

• Cities and counties may not regulate security deposits unless the General Assembly authorizes it (Ind. Code § 32-31-1-20(c)).See Rent control and local rules on the Indiana page
• You may accept, but may not require, a lien on a tenant's motor vehicle as a security deposit or to secure rent. To enforce it you must record the lien and follow the security deposit chapter (Ind. Code § 32-31-3-13.5).
• Money paid for an option to purchase under a lease with an option to purchase is not a security deposit, unless it is shown the intent was to evade the deposit law (Ind. Code § 32-31-3-9(c)).

Indiana does not require you to hold a security deposit in a separate or interest-bearing account, and it does not require you to pay interest on it (Ind. Code §§ 32-31-3-9 to 32-31-3-19).

• The owner of the unit when the rental agreement ends is bound by the deposit return rules (Ind. Code § 32-31-3-12(d)).

Indiana does not require a move-in inspection, condition checklist or inventory. At the end of the tenancy the tenant must return the unit clean and in proper condition, except for ordinary wear and tear (Ind. Code § 32-31-7-6).

• Deductions from the deposit for damage are limited to actual damage that is not ordinary wear and tear (Ind. Code § 32-31-3-13(1)).See Returning the deposit on the Indiana page
• When you deliver the unit, you must have the tenant acknowledge in writing that it has a functional smoke detector (Ind. Code § 32-31-5-7(a)).See Smoke alarms on the Indiana page

Indiana's landlord-tenant law sets no limit on application or screening fees and no refund rule for them. Cities and counties may not regulate your tenant screening process, lease applications or any fees you charge unless the General Assembly authorizes it (Ind. Code § 32-31-1-20(c)).

• The local rule does not cover privately owned property that receives government funds or benefits for the express purpose of providing reduced rents to low or moderate income tenants (Ind. Code § 32-31-1-20(a)).