I have stayed in Mumbai and Bangalore in rented accommodations and have paid a hefty amount of rent. One common question that I often asked was : Can landlord increase rent after 1 year. Honestly, the increase in rent burnt a hole in my pocket. Need help drafting a rent agreement? Get legally valid rent agreement online here My friend Shruti informed me that landlords often include a clause for a house rent increase per year as per law irrespective of whether your old agreement expired or not. This is done to make sure that a landlord is not losing out on potential rent just because the same tenant continues to live in the house for many years and also to keep the rent in line with market rates. Pay your rent online and earn cashbacks and rewards. Rent increase rules in India: In India, the landlord enjoys the authority to increase the rent. So it is advisable that before signing the rental agreement, the tenant should negotiate the terms of the rent increment. Here is a table to explain the rent increment per year in both, commercial and residential properties:
| Commercial rent increase per year | Residential rent increment per year |
| Rent is increased every year by 5% to 8%. | After a lease expires, landlords are permitted to raise the rent by 10%. |
However, in the second case, the increase should not be greater than 15% annually of the costs associated with specific additions. If the landlord has to pay more government taxes, he is also within his rights to increase the annual rent. The amount of the higher tax in this scenario should not be greater than the increase in rent.
I’d like to conclude here as I believe this suffices your query about can landlord increase rent after 1 year. I hope this helps:)