The new governing session is here, and the Indiana Senate is looking to impose new strict guidelines on landlords throughout the state. Some of these guidelines include new policies on pests, mold, and rot, and limits the landlord's ability to collect rent from tenants for non-compliance of these policies. Maybe the biggest change yet is the removal of the landlord's ability to even manage their own property without meeting certain criteria.
Link to Senate Bill 277Here is the bill:
Provides that the court may appoint a receiver upon request by a county, city, or town when the property owner of a multifamily residential property with more than four dwelling units has failed to pay damages, costs, or attorney's fees that have been incurred by the multifamily residential property in a nuisance action brought by the county, city, or town. Allows a city, county, or town to bring a nuisance action against a tenant or other person responsible for a nuisance. Defines "essential services" as certain services needed for the safe and habitable occupation by a tenant of the tenant's rental unit. Defines "essential systems" as certain systems used to deliver essential services to a rental unit. Requires a landlord to provide and maintain a rental premises that is free from the following: (1) Pests, including rodents and invasive insects. (2) Mold. (3) Rot. Sets forth a procedure for a tenant to use to initiate a request for repairs. Requires a landlord to repair or replace an essential system not later than 72 hours after being notified by a tenant that the tenant's rental unit is without essential services under certain circumstances. Allows for certain remedies to the tenant for the landlord's noncompliance, including a procedure for the deposit of rent that is due with the clerk of the court if the landlord fails or refuses to make repairs or take remedial action. Provides that, during the pendency of a court action brought by a tenant, the court may order the tenant to make the regular rental payments otherwise due under the rental agreement to the clerk of the court or an attorney trust account, to be held in trust for disbursal to the prevailing party, as ordered by the court. Provides that a landlord may apply for release of rent deposits. Provides that, after June 30, 2024, a landlord may not manage a rental property in Indiana unless the landlord: (1) is authorized to do business in Indiana; (2) maintains an office at one or more physical locations in Indiana; or (3) appoints an Indiana licensed real estate broker or broker company to manage the rental property. Makes conforming changes.