2025 updates to Texas’s rent increase guidelines

In the Lone Star State, there aren’t rent increase laws on how much a landlord can raise the rent when it’s time to renew a lease. Only a handful of cities can create reforms on rent hikes only if a disaster is declared and the city sees the need for emergency housing. 

There are also no restrictions on how much a landlord can charge for a security deposit. In Texas, a landlord must refund the entire deposit when the tenant moves out, granted there is no damage to the property and the tenant is up-to-date with all their rent payments.

To keep those good tenants in your rental properties, and if you need more information on the standard rent uptick or typical security deposit rates, review what neighboring states set as their usual limits.

How to raise rents in Texas

Learn how to determine your new rental rate, prepare a notice in writing, and give notice to your tenants with these three steps.

Step 1: Determine your new rent price

Be strategic with setting your new rent price. Consider the rental landscape in your city and state, and review current market trends and your cash flow. Look at the median rental prices. By researching other properties’ rental prices and budgeting for maintenance and repairs, mortgage, and property taxes, you can set goals on what profits you aim to earn.

Think about the surroundings of your rental property. Is it nestled by a university? If so, consider how much monthly rent a college student could afford.

Step 2: Prepare the notice for the increase

Begin plunging into the paperwork. Streamline the rental increase process by emailing the tenant a hyperlink for the rent increase notice.

Giving the tenant a 30-day notice before applying a rent hike to the lease renewal is customary.

Step 3: Notify your tenant of the rent hike

Before you raise the rent, you have to break the news tactfully. The best method is to give your tenant advance notice so you aren’t springing an uptick of rent on them. While Texas has no guidelines on how to inform your tenant of a rent hike, you should continue staying up-to-date with the evolving rules in the rental market. Submitting a notice in writing is the best policy to minimize any disputes.

Resolving issues about rent control

For disputes in Texas, we recommend either seeking guidance from attorneys with a specialty in property management or referring to online government sources for answers. Laws and sources may change, so it’s essential to stay on top of  the rental market laws.

 Refer to the following sources for guidance with the rental process: 

• Application deposits vs security deposits
• Fix-term lease explained
• Retaliatory eviction and exceptions for a ban on rent increases

FAQ: Texas rent increase guidelines for landlords