New Rent Rules 2025 — Is Rent Agreement Registration Within 2 Months Now Mandatory?

Recently, there has been a surge of posts on Facebook, WhatsApp, and other social platforms claiming that rent agreements must be registered within two months, failing which a penalty of ₹5,000 will be imposed.
This has caused confusion among landlords and tenants across India.

These claims come from the proposed framework popularly referred to as the New Rent Rules 2025, which are inspired by the Model Tenancy Act (2019).
To understand the truth, we need to break down what the law actually says — and what is still only a proposal.

🔹 1. What Are the “New Rent Rules 2025”?

The New Rent Rules 2025 refer to tenancy reforms being adopted by states based on the Model Tenancy Act, 2019 (MTA).
The MTA is not an enforceable central law — it is a model, meaning:

✔ The Central Government recommends it
✔ But each State has to pass its own law to make it legally enforceable
✔ Different states may adopt some or all parts of the Act

The objective of the new rules is to:

• Modernize tenancy laws

• Encourage formal rental contracts

• Avoid disputes

• Reduce unregistered tenancy practices

• Offer protection to both landlord and tenant

🔹 2. The Most Talked-About Rule: Registration Within 60 Days

Under the Model Tenancy framework, rent agreements must be reported or registered with the Rent Authority within 60 days of signing.

However:

👉 This rule becomes mandatory only when your state adopts it into its own tenancy law.

Some states have already moved towards online tenancy registration platforms, while others still follow traditional methods under the Registration Act, 1908.

🔹 3. Is the Penalty of ₹5,000 True?

Yes — but with a condition.

The ₹5,000 penalty mentioned online is part of the proposed rules, not a central law.
States adopting the new framework may impose penalties for:

• Not registering the agreement

• Delays beyond 60 days

• Providing incorrect information

• Avoiding tenancy disclosure

But the exact penalty amount varies from state to state.

Until a state officially adopts the rule, penalty is not automatically applicable.

🔹 4. What Is the Law Right Now? (Practical Ground Reality)

✔ Rent agreements of 12 months or more MUST be registered under the Registration Act, 1908, in every state.

✔ 11-month agreements are commonly notarized but legally weaker.

✔ The 60-day rule and penalty apply only after the state adopts the new Rent Rules.

✔ Several states (like Delhi, Maharashtra, Karnataka) already encourage or require digital registration.

✔ Punjab and many other states still follow the traditional registration system through the Sub-Registrar.

🔹 5. Why States Want the 60-Day Mandatory Registration

Formal registration helps:

• Reduce disputes between landlord and tenant

• Provide legal clarity on rent, deposit, and duration

• Prevent illegal eviction

• Prevent unauthorized overstaying

• Track rental properties for safety and verification

• Stop tax evasion in high-value rentals

The Model Tenancy Act aims to change the casual “notarized 11-month agreement” culture.

🔹 6. Does This Mean You Must Register Your Rent Agreement Within 2 Months?

✔ If your state has officially adopted the new Rent Rules → Yes, you must register within 60 days.

✔ If your state has NOT adopted the new rules yet →
You must follow the Registration Act, which mainly requires registration for leases of 12 months or more.

Most important point:

Even if not yet mandatory, it is always safer to have a registered rent agreement because it protects both parties in court.

🔹 7. Benefits of Registering Your Rent Agreement (Regardless of New Rules)

⭐ For Landlords

• Strong protection against illegal occupation

• Clear terms of rent, duration, and notice

• Easier eviction in case of breach

• Reduced disputes

• Valid proof for police verification

⭐ For Tenants

• Protection against sudden eviction

• Clear refund rules for security deposit

• Valid address proof for documents

• Clear terms for rent increase

• Strong legal backing if disputes arise

Even without the new rules, registration is the best practice.

🔹 8. What Tenants and Landlords Should Do Now

✔ Continue registering agreements above 11 months

It is already required by law.

✔ Track your state government notifications

Look for announcements regarding adoption of Model Tenancy Act or New Rent Rules.

✔ Use digital tenancy portals where available

Many states already offer them.

✔ Prefer registered agreements over notarized agreements

They have stronger legal value.

⭐ Conclusion

The New Rent Rules 2025 propose a mandatory 60-day registration requirement for rent agreements, along with penalties for non-compliance.
However, tenancy laws are state-specific, so this becomes binding only when a particular state adopts it.

Until then, the existing rule under the Registration Act applies:

✔ Rent agreements above 11 months should be registered
✔ 11-month agreements are commonly notarized but provide weaker protection

Regardless of legal compulsion, a registered rent agreement is always safer for both landlord and tenant and helps avoid disputes.