Indiana Lease Requirements: What Every Landlord Must Include

Indiana allows both written and oral lease agreements. Oral leases for a term of not more than three (3) years are legally valid and binding. However, written leases are strongly recommended. These requirements are governed primarily by the Indiana Code (IC 32-31) and the Indiana Statute of Frauds (IC 32-21-1-1).

Written vs. Oral Leases

Official Law Citation: The rules and regulations outlined on this page are governed by the Indiana Statute of Frauds (IC 32-21)Preview unavailable and the Landlord-Tenant Relations Act (IC 32-31)Preview unavailable.

Statute of Frauds

Under Indiana's Statute of Frauds (IC 32-21-1-1), any lease for a term exceeding 3 years must be in writing to be enforceable. Oral agreements for periods longer than three years are generally void.

Recording Requirements

A lease for more than three (3) years is not valid and effectual against any person other than the grantor, the grantor's heirs and devisees, and persons having notice of the lease, unless the lease is made by a deed recorded within the time and in the manner provided in IC 32-21-3.

Essential Lease Terms

Every Indiana residential lease should include the following:

Required Information

1. Full names of all parties (landlord and all tenants)
2. Property address and specific unit designation
3. Lease term - start date, end date, and renewal terms
4. Rent amount - monthly rate, due date, and acceptable payment methods
5. Security deposit - amount, conditions for return, and deduction policies
6. Landlord/agent identity - name and address of the person authorized to manage the property and the owner's name and address for service of process (required by IC 32-31-3-18)

Recommended Provisions

7. Late fee policy - amount, when applied, and any grace period
8. Maintenance responsibilities - who handles what repairs
9. Pet policy - whether pets are allowed, type restrictions, and pet deposit amount
10. Smoking policy - whether smoking is permitted on the premises
11. Occupancy limits - maximum number of occupants
12. Subletting rules - whether subletting or assignment is permitted
13. Entry provisions - notice required for landlord entry (24 hours recommended)
14. Utilities - which utilities are included, which the tenant pays
15. Termination procedures - notice requirements for both parties
16. Renewal terms - automatic renewal, month-to-month conversion, or expiration

Lease Modifications During Tenancy

For month-to-month tenancies, Indiana law (IC 32-31-5-4) allows landlords to add new clauses or terms with 30 days' written notice. For fixed-term leases, modifications generally require the consent of both parties unless the lease explicitly permits unilateral changes. Key rules:

• Changes must not violate state or federal law
• Tenants must receive proper written notice
• Material changes may give tenants the right to terminate
• Both parties should sign any amendments

Month-to-Month Tenancies If

a fixed-term lease expires and neither party acts, the tenancy typically converts to a month-to-month arrangement under the same terms. Key rules:

• Either party may terminate with 30 days' written notice
• All original lease terms remain in effect unless modified
• Rent increases require 30 days' notice

Prohibited Lease Clauses

Indiana law prohibits certain clauses in residential leases:

Security Deposit Provisions

While covered in detail in our Security DepositsPreview unavailable guide, the lease should clearly state:

• Deposit amount
• Conditions under which deductions will be made
• Timeline for return (45 days per IC 32-31-3-12)
• Requirement for tenant to provide forwarding address

Best Practices for Landlords

1. Always use a written lease - Even for short-term rentals
2. Have an attorney review your lease template - Ensure compliance with Indiana law
3. Use clear, plain language - Avoid legalese that tenants might not understand
4. Include all disclosures - Required by state and federal law (see our Required DisclosuresPreview unavailable guide)
5. Keep signed copies - Both landlord and tenant should retain a copy
6. Update regularly - Review and revise lease templates annually to reflect legal changes
7. Document all modifications - Use written amendments signed by both parties

How Landager Helps

Landager continually tracks lease terms, required compliance items, and strict accounting records - making it easy to stay compliant with Indiana regulations.

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