What are the most landlord-friendly states in 2021?

Are you a landlord looking to invest in a new property? Maybe you are just starting to think about getting into this field and you want to know whether you live in a state that’s landlord-friendly.

Most of the time, states tend to favor the tenants over the landlords, and this could make some investors nervous. They don’t want to be taken advantage of by poor-quality tenants.

Fortunately, some states are landlord-friendly and could be great locations for your next investment. Below, you’ll learn more about what you should be looking for when you are choosing a state for investment, as well as some of the best landlord friendly states for 2021.

What Should You Consider When Looking for the Landlord-Friendly States?

  • Rent Control
  • Property Taxes and Insurance Cost
  • Eviction
  • Registration and License Requirements
  • The Competition

What does landlord-friendly mean?

It doesn’t mean that it’s necessarily against tenants. After all, they still have rights. However, it does mean that it makes certain things easier and aligned more in the favor of the landlords to help them keep their investments safe. Below are some of the most important things to check for when investing in another state.

  • Rent Control
  • Property Taxes and Insurance Cost
  • Eviction
  • Registration and License Requirements
  • The Competition

Best Landlord-Friendly States

Best States for Landlords

Let’s get a closer look at some of the best landlord-friendly states where you might want to buy your next rental property.


The state of Florida has a large number of renters, but the landlords still have some advantages in the state, making it a good choice. The landlords will have 60 days after the move out to return funds to the tenant or to decide to withhold those funds because of damages. Landlords can provide tenants with a 3-day notice to pay or quit, which can help to speed up the eviction process. Additionally, there are not any limits set on the security deposits.


Colorado has a number of benefits for landlords, as well. This is seen in the state’s eviction laws. As with Florida, there is a 72-hour notice to pay or to quit and leave the property. If the tenant does not pay within that 72-hour window, they will have just 48 hours to leave the property. Landlords who have had to deal with renters that do not pay and try to stay on even after the eviction notice will surely appreciate how much easier it is in Colorado.


Alabama is a great option, as well, and for a host of reasons. For starters, you will find that the property tax rates are very low, which makes it more affordable to invest in the state. Landlords are allowed to increase the rent provided they provide the tenants with a 30-day notice. Additionally, the laws currently do not allow the tenants to withhold their rent if the landlord does not make repairs to the property.

The eviction process in Alabama is in the landlord’s favor, as well. It’s not as simple as in Florida or Colorado, but it’s still better than most states. If the tenant does not abide by the rental agreement, the landlord can provide a 14-day notice to end the lease. If the tenants do not pay their rent, the landlord can give them a 7-day eviction notice.

Landlords can also set their own prices when it comes to late fees for the rental property. The state does not have any laws that limit how much the late fees can be.


Indiana provides several reasons for landlords to consider buying a rental property in the state. Landlords can retain the security deposit for 45 days after the tenants have left. This gives the landlords time to determine whether they need to retain any of that money to handle repairs caused by the tenants. Additionally, there are no limits on the amount that can be charged for a security deposit.

A landlord that needs to evict a tenant for breaching their lease or not paying rent can give the tenants a 10-day notice. If they do not comply with the terms of the lease, the landlord can then evict them. If the tenant is on a month-to-month contract and they damage the property willfully, the landlord can terminate the lease on the spot.

The state also has a low property tax rate, which helps to make it even more attractive to landlords.


In the state of Arizona, landlords are allowed to raise the rent on their rentals as long as they provide the tenants with a 30-day notice. The eviction process in the state favors the landlords, as well. If the tenant does not maintain the property or if they fail to pay their rent, the landlord can provide them with a 5-day notice. If they breach their rental agreement, the landlord can give them a 10-day notice. If the problems are not fixed or the rent is not paid, they can then evict the tenant.

If there is a more serious problem that occurs, such as committing a crime on the property, the landlord can give the tenants a notice to vacate the property within 10 days.


Despite the property taxes in Texas being somewhat higher than some other states, this is a very landlord-friendly state. If a landlord needs to evict a tenant for nonpayment of rent, they can issue a 3-day notice to pay or quit. If they don’t pay, they can start the eviction process after that. There is no limit on the amount that can be charged for a security deposit. Additionally, the landlords can refuse to make repairs on the property if the tenants are behind on their rent.

What if you don’t live in one of these states? You still have the opportunity to invest in other states. However, you won’t be able to manage those properties on your own if you are several states away. In those cases, you will want to work with a property management company that can take care of things for you.

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