Minnesota Rent Increase Notice Rules

Minnesota rent increase rules at a glance

Minnesota requires at least one full rental period's notice (typically 30 days for month-to-month tenancies) for a rent increase. There is no statewide rent cap, but St. Paul enacted a 3% annual cap effective May 2022 (Ordinance 22-3). Minneapolis does not have a rent cap.

The notice period explained

Under Minnesota Statutes § 504B.135, a tenancy at will (month-to-month) may be terminated by either party with notice equal to the length of the rental period, with a minimum of one month. The same notice period applies to rent increases: at least one full rental period before the increase takes effect. For most month-to-month tenancies, that means 30 days.

St. Paul's 3% annual rent cap

St. Paul voters approved a 3% annual rent increase cap in November 2021, effective May 1, 2022. The cap applies to most residential rental units in St. Paul, with limited exemptions for new construction (certificate of occupancy within 20 years) and affordable housing units. Landlords in St. Paul should calculate whether their planned increase exceeds 3% before issuing notice.

Minneapolis and other Minnesota cities

Minneapolis does not have a rent cap. Other major Minnesota cities (Rochester, Duluth, Bloomington, St. Cloud) follow state law without additional caps. Outside St. Paul, there is no percentage limit on rent increases in Minnesota.

Fixed-term leases in Minnesota

For fixed-term leases, rent cannot be raised mid-term. Increases apply at renewal. When a fixed-term lease expires and converts to month-to-month, the one-rental-period notice rule applies. If a tenant does not pay the increased rent, the Minnesota eviction timeline governs next steps.

Worked example: raising rent in Minnesota

Current rent is $1,800/month on a month-to-month lease. You want to raise it to $2,000, an increase of $200 (11.1%).

Minnesota requires one full rental period's notice (30 days for monthly tenancies). You plan the increase to take effect August 1. Working backward, you need to deliver written notice by July 1.

If you send notice on July 1, the earliest the increase can take effect is August 1.

If the unit is in St. Paul: the 3% annual cap limits the increase to $54/month ($1,800 x 3%). To raise rent to $2,000, you would need to phase the increase over multiple years or qualify for an exemption.

Outside St. Paul (including Minneapolis), there is no percentage cap, so the full $200 increase is legally permissible with proper notice.

What experienced landlords do differently

• Send notice 2-3 weeks before the legal minimum. Tenants need time to budget for the increase or give their own move-out notice, and extra lead time reduces the chance of vacancy.
• Include a brief rationale with the notice: "Property taxes increased 8% and insurance premiums rose 12%." You're not legally required to explain, but tenants who understand the reason are more likely to stay.
• If you're raising rent significantly, consider offering a longer lease (12+ months) at a slightly lower increase. Stability often beats the extra $50/month.

Related Minnesota compliance tools

Landlords in Minnesota deal with more than just rent increases. These free calculators cover the other compliance deadlines you need to track:

• Minnesota Eviction Timeline Estimator — Estimate the full eviction process from notice to possession
• Minnesota Maximum Late Fee Calculator — Calculate the highest late fee your lease can enforce
• Minnesota Security Deposit Return Deadline — Know exactly when the deposit must be returned or itemized
• Minnesota Security Deposit Interest Calculator — Calculate the interest you owe on held deposits

See all property management tools for investment, financing, and operations calculators.

Frequently asked questions about Minnesota rent increases

Can a tenant refuse a rent increase?

On a month-to-month lease, the tenant cannot block a properly noticed increase, but they can choose to move out instead. On a fixed-term lease, you generally cannot raise rent until the lease expires unless the lease itself includes an escalation clause. In St. Paul, increases above 3% annually may be refused under the local ordinance.

Is there a rent cap in Minnesota?

No statewide cap. St. Paul has a 3% annual cap (effective May 2022). Minneapolis and other Minnesota cities do not have caps.

Does St. Paul's 3% cap apply to all properties?

Most residential rental units in St. Paul are covered. New construction (certificate of occupancy within 20 years) and some affordable housing units have limited exemptions.

Can a Minnesota landlord raise rent during a fixed-term lease?

Generally no. A fixed-term lease locks in the rent for the term. Rent increases apply at renewal.

What is a fair Minnesota rent increase amount?

Three to six percent annual is the typical band outside St. Paul. In St. Paul, 3% is the legal maximum for most units.