diff --git a/spec/selection-spec.coffee b/spec/selection-spec.coffee
index 319e2d438..8830f4188 100644
--- a/spec/selection-spec.coffee
+++ b/spec/selection-spec.coffee
@@ -91,3 +91,8 @@ describe "Selection", ->
       expect(buffer.lineForRow(0)).toBe "    "
       expect(buffer.lineForRow(1)).toBe "    "
       expect(buffer.lineForRow(2)).toBe ""
+
+    it "auto-indents if only a newline is inserted", ->
+      selection.setBufferRange [[2, 0], [3, 0]]
+      selection.insertText("\n", autoIndent: true)
+      expect(buffer.lineForRow(2)).toBe "  "
diff --git a/src/selection.coffee b/src/selection.coffee
index e208ea55a..8d93d2fa1 100644
--- a/src/selection.coffee
+++ b/src/selection.coffee
@@ -378,7 +378,7 @@ class Selection extends Model
       indentAdjustment = @editor.indentLevelForLine(precedingText) - options.indentBasis
       @adjustIndent(remainingLines, indentAdjustment)
 
-    if options.autoIndent and NonWhitespaceRegExp.test(text) and not NonWhitespaceRegExp.test(precedingText) and remainingLines.length > 0
+    if options.autoIndent and (text is '\n' or NonWhitespaceRegExp.test(text)) and not NonWhitespaceRegExp.test(precedingText) and remainingLines.length > 0
       autoIndentFirstLine = true
       firstLine = precedingText + firstInsertedLine
       desiredIndentLevel = @editor.languageMode.suggestedIndentForLineAtBufferRow(oldBufferRange.start.row, firstLine)