As a landlord, raising rent is a normal part of operations — just as property maintenance and tenant screening are. However, in this corner of the Southeast, Louisiana rent increase laws govern the process. Here’s everything you need to know to keep your rent payment workflow compliant.
In summary, Louisiana’s not a rent-controlled state. But local laws require you to overcome procedural hurdles governing notice requirements and rent increase letters. In this TurboTenant guide, we’ll review rent increase laws and best practices for landlords in the Pelican State.
Is there a rent increase limit in Louisiana?
At a glance, no, Louisiana rent increase laws don’t cap rate adjustment amounts. Keep the following rules in mind:
Statewide caps: State law doesn’t regulate rent increases or list rent control laws. Landlords can raise their unit’s monthly rate as needed when the lease term ends. Because there’s no legal limit, use the market rate as a guide. Your local market rate reflects the average rent price in your area, based on the following considerations:
- Square footage
- Property features
- Local demand
Checking your market rate before proposing a new price helps you stay competitive.
Local rent control ordinances: Louisiana law doesn’t prohibit rent control at the city or county level, unlike some states. However, no local parishes or municipalities have active rent stabilization laws or limit the amount landlords charge tenants.
Exceptions: Even though Louisiana isn’t a rent-controlled state, federal housing programs, such as Section 8, may apply. State law doesn’t list specific exceptions to rent control.
Next, we’ll cover notice periods, illegal rent increases, and tips for creating a rent increase letter.
Rent Increase Notice Periods
When changing the terms of a tenancy (including raising rent), Louisiana rent increase laws set different notice rules depending on the type of lease agreement you use.
Fixed-Term Lease
If your lease has a set start and end date, propose the new rate in writing when you’re renewing the tenancy (La. Code Civ. Art. § 2720). State law doesn’t require a certain timeframe, but we recommend giving your tenants at least 30 days’ notice. And remember, you can’t edit a tenant’s rent price in the middle of an active tenancy.
Month-to-Month Lease
When it comes to month-to-month agreements, state law requires you to provide 10 days’ written notice to terminate or change any contract terms, including rent (La. Code Civ. Art. § 2728).
Pro Tip: Follow the same 10-day rule for a month-to-month room rental agreement in Louisiana (La. Code Civ. Art. § 2728).
How to Deliver a Rent Increase Notice in Louisiana
Even though local laws mandate written notice, they don’t specify delivery protocols. As a result, most landlords use the following methods:
- Hand delivery
- Drop-off at the property
- Certified Mail
- Electronic delivery via landlord software
Always outline your process in the lease agreement. Not only does it ensure courts treat the notice as legally binding, but it also keeps everyone on the same page. After all, you don’t want tenants to miss your letter because they didn’t know where to find it.
Additionally, Louisiana law doesn’t outline notice timelines for each delivery method. Personal hand-offs, drop-offs, and digital delivery are generally effective immediately. But if you mail it, wait 3 days to account for delays.
Understanding Illegal Rent Increase and Retaliation
Most states have a dedicated statute for landlord retaliation, but Louisiana doesn’t. However, you can’t punish tenants by raising their rent. Here’s how it works:
Landlord retaliation: You must only adjust your monthly rate in good faith when renewing the lease. If you attempt to get back at tenants for complaining about habitability issues, health and safety violations, or necessary repairs, courts may find the increase retaliatory.
As a best practice, avoid retaliation and follow all Louisiana rent increase laws.
The Fair Housing Act (FHA): Additionally, be fair and consistent across all applicants. The federal Fair Housing Act (FHA) prohibits landlords from offering unfair rental terms or considering legally-protected traits, such as:
- Race
- Color
- National origin
- Religion
- Sex
- Familial status
- Disability (Fair Housing Act)
Next, let’s discuss rent increase letters in Louisiana.
How to Write a Louisiana-Compliant Rent Increase Letter
Use a rent increase letter to inform tenants about your new rate. When creating an official notice, always include the following:
- Property address (and unit number, if any)
- Tenant names
- New total rent amount
- Exact dollar amount of the increase
- Effective date (don’t forget to factor in Louisiana’s legal notice period)
- Instructions for tenants (how to accept or opt out)
We recommend using TurboTenant’s free rent increase letter template to save time. Beyond being fast and easy, our standardized template is professional, clear, and straightforward.
Managing the Rent Increase Process with Tenants
Once you notify tenants in accordance with Louisiana rent increase laws, wait for their reply. Tenants can either accept, decline, or attempt to negotiate. Here’s how top landlords respond in each situation:
- Accept: When your tenant agrees, start charging the new amount on the effective date. Louisiana doesn’t mandate grace periods, even after you adjust your monthly rate at renewal.
- Decline: If tenants opt out, they must move out when their lease ends. Start discussing the move-out process and searching for your next tenant to avoid a vacancy.
- Negotiate: Some tenants ask for wiggle room. Consider offering a longer lease term or a phased adjustment period if you want to retain a top tenant.
All in all, rent increase laws in Louisiana are much less strict compared to rules in other states. Use this guide to streamline your operations, reduce busywork, and avoid disputes.
Louisiana Rent Increase FAQs
How much can I raise rent in Louisiana?
State law doesn’t cap rent increases. We recommend referring to your local market rate to find a reasonable average based on your property’s size, features, and renter demand.
Is there a maximum late fee in Louisiana?
No, Louisiana doesn’t limit the amount landlords charge for late fees.
Can I increase rent if the tenant is on a verbal agreement?
To legally increase rent on a verbal lease, give tenants at least 10 days’ written notice if you have a month-to-month agreement (La. Code Civ. Art. § 2728).