Is There a National Rent Law in India? The Model Tenancy Act, Explained in Mumbai

For someone based in Mumbai, here is a general overview of is there a national rent law in india for someone in Mumbai.

Why claims of a nationwide '2-month deposit cap' are incorrect, and which states have actually adopted the Model Tenancy Act.

The legal position

There is no central tenancy law applicable across India. The Model Tenancy Act 2021, approved by the Union Cabinet on 2 Jun 2021, is only a model that each state may choose to adopt or adapt.

In most cases, as of this research, only four states had adopted the Model Tenancy Act: Andhra Pradesh, Tamil Nadu, Uttar Pradesh, and Assam.

The widely shared claim of a nationwide 2-month security deposit cap and a 60-day window to register a tenancy agreement comes from the Model Tenancy Act's own ss.11 and 4, and applies only where a state has enacted that Act — not across India generally. Fact-checks published in March 2026 confirmed there is no national rent law.

In most cases, a 'Registration Bill 2025' exists only as a draft released by the Department of Land Resources for public comment in May 2025; there is no confirmation it was introduced in Parliament.

Where this applies in Mumbai

• The High Court with jurisdiction is the Bombay High Court.
• Matters at the district level are generally handled at the Mumbai City Civil Court, or the Court of Small Causes for tenancy matters.
• The applicable rent law is the Maharashtra Rent Control Act, 1999.
• Registration is handled through IGR Maharashtra.

Common pitfalls

There are a few traps worth watching for.

• Relying on social media posts claiming a '2-month deposit limit' as a national rule — it is only law in states that adopted the Model Tenancy Act.
• Assuming the state you live in has adopted the Model Tenancy Act without checking — most have not.
• Confusing the draft Registration Bill 2025 with an enacted law.

For related reading, see The Delhi Rent Control Act's ₹3,500 Exclusion: What It Means and When Is a Lease Required to Be Registered?.

If this touches a situation you are dealing with, you are welcome to discuss it in a consultation.

The content above explains how the law generally works; it is not legal advice and should not be treated as a substitute for advice on your particular facts.