Year-ender 2025: Bengaluru's rental market faces backlash over high security deposits and opaque deductions

In 2025, Bengaluru’s rental market faced scrutiny as high security deposits and unclear deductions sparked tenant-landlord disputes and social media outrage

In 2025, landlord-tenant disputes dominated social media conversations across India, with Bengaluru emerging as a focal point in the residential rental sector. From demands for six to nine months’ rent as security deposits to deductions for painting, cleaning, and minor repairs, tenants took to social media platforms to share experiences they describe as ‘arbitrary’ and ‘exploitative’.

In 2025, landlord-tenant disputes dominated social media, with Bengaluru in focus as tenants flagged high deposits and arbitrary deductions for painting, cleaning and minor repairs. (Photo for representational purposes only)(Unsplash)

While landlords argued that such practices were needed to safeguard property values amid rising costs, tenants said opaque deductions and rigid terms were making renting a stressful and financially draining experience.

One month’s rent for paint? Bengaluru tenants push back as deposit deductions become the norm

In 2025, a growing number of tenants said landlords were routinely deducting the equivalent of one month’s rent from security deposits as painting charges when they vacated their homes. What was once occasional has now become standard practice in many parts of the city.

Landlords defended the move, citing rising labour and material costs, as well as the need to prepare homes for new tenants. Tenants, however, complained that such deductions are rarely supported by invoices or linked to the actual condition of the flat, describing them as a blanket rule rather than a need-based expense.

Tenant alleges landlord deducted over 60% of ₹1 lakh deposit after one-year stay

In another case, a tenant on Basavanpura Main Road near KR Puram, alleged that his landlord deducted more than 60% of his ₹1 lakh security deposit. Paying ₹15,000 a month in rent, the tenant had vacated after a year due to a job transfer.

According to the tenant, deductions included ₹30,000 for two months’ rent, ₹10,000 for part of July, ₹15,000 for repainting, ₹5,200 for cleaning, ₹4,000 towards a brokerage plan, ₹2,500 for kitchen coating, and ₹1,000 for electricity bills. The landlord also sought an additional ₹10,000 for a rusted kitchen rack.

“He is also charging me for using a brokerage plan to find the next tenant,” the post read, triggering widespread criticism from fellow users who called the charges excessive and unjustified.

‘Charged ₹2,500 for a lamp worth ₹500’

Another Reddit post highlighted growing challenges among prospective tenants, including large deposits, arbitrary maintenance charges, and delays in refunding security deposits. In one example, a landlord reportedly deducted ₹2,500 for a table lamp that tenants said would cost no more than ₹500 in the market.

“Tired of flat owners, especially in Bangalore,” the user wrote. “They take a six-month deposit and advance rent. When you vacate, they want to change everything and don’t intend to return the deposit even after deducting high charges. That’s why even people with short-term stays want to buy a flat and move out of this extortion.”

Brokers say such sentiment is common, with some renters exploring homeownership not as an investment, but as a way to escape unpredictable rental practices.

The tenant stated that an initial inspection confirmed all furnishings were intact; however, after a dispute between the landlord and the worker, several items were later found to be missing. “Despite this, he started deducting money from our deposit, charging as much as ₹2,500 for a table lamp that likely costs only ₹500,” the tenant wrote, adding that deductions were made for items they insist were present when keys were returned.

When landlords struggle too: No agreement, no exit

Not all disputes tilt against property owners. In one Bengaluru case, a family shared their ordeal of being unable to evict ground-floor tenants who had lived in their house for nearly five years without a formal rental agreement.

The tenants, acquaintances brought in by a relative, allegedly paid rent irregularly and refused to vacate even after a three-month notice. “There is no written agreement at all. They delay rent and give small amounts throughout the month. This has become very stressful for us,” the family wrote on Reddit.

Legal experts said such cases highlight the risks of informal arrangements, which often result in prolonged and emotionally draining conflicts for both parties.

Luxury rentals come with a strict rulebook

In the premium and super-luxury segment, typically homes renting for ₹70,000 a month and above, the approach is far more structured. Detailed handover checklists, annexures, and condition reports are common, brokers say.

In one case in Indiranagar’s Defence Colony, a tenant paying over ₹1.2 lakh a month for a 4 BHK apartment repainted the house at his own cost before vacating. “Both painting and additional woodwork repairs were needed, and the costs were mutually agreed,” said a broker familiar with the deal.

(Disclaimer: This report is based on user-generated content from social media. HT.com has not independently verified the claims and does not endorse them.)