This Melbourne rental home was left in poor condition by tenants who were $20,000-plus behind on their rent. The owners are among the many across Victoria reporting poor behaviour by tenants.
A cancer patient and her pensioner husband are pleading for Victoria’s rental laws to be revamped as they grapple with a tenant who did not pay rent for months, but refuses to leave their back yard.
The couple, aged 67 and 84, have been left devastated by a Victorian Civil and Administrative Tribunal decision which they fear has left them stuck with a tenant who owes thousands of dollars in back rent for the granny flat at their home’s rear.
Extraordinarily, despite fighting against eviction, the tenant has petitioned for an intervention order against the pair, to be ruled on next month — which has the potential to force them from their own home.
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Kez and Sammy have rented out the back yard dwelling at their home in Melbourne’s inner north for more than a decade.
Kez, who needs ongoing medical care and surgery for a series of aggressive recurring skin cancers, said their tenant owes more than $7100 in unpaid rent dating back to October 2025.
She and her husband, who suffers from serious heart problems, rely on the granny flat’s $450 weekly rent to make ends meet.
Kez has taken on extra jobs and borrowed thousands from friends to make up the shortfall, as well as water, electricity and internet bills – which they cover for the rental.
When the tenant stopped paying rent, they issued a notice to vacate as required under Victoria’s laws and applied to VCAT for an eviction order when this was disregarded.
The Victorian Civil and Administrative Tribunal, aka VCAT, is based in King St, Melbourne.
An initial tribunal ruling said the tenant could stay until February 3, before an eviction notice could be enacted.
The tenant requested the decision be reviewed, and in a second hearing VCAT deputy president Kylea Campana gave them more than two years to pay the rental arrears, starting later this month.
Ms Campana’s decision also left the landlords unsure as to when or if they will be able to remove the tenant and reclaim their back yard.
Her order stipulates they can apply for another eviction order if the tenant fails to follow the payment plan.
“Each new development feels like another blow, and the cumulative weight of it all is making it harder and harder to hold myself together,” Kez said.
“We live only metres from the tenant, so there is no escape from the tension or the fear.”
Tenants who were behind on their rent did not clean up after themselves at this Melbourne home. Picture: Supplied.
They have started a GoFundMe appeal as they cannot afford a lawyer, and their tenant has also since served Kez with an intervention order “based on events that never occurred”.
The intervention order could potentially force them from their own home, if it is adopted in full when it goes before the courts.
Kez now wants her and her husband’s experience to spark a wider conversation about reform and accessibility in Victoria’s tenancy system, especially for small-scale landlords.
However, since the VCAT hearings, their tenant has paid rent for the first time since September.
The Herald Sun has opted to use the alias’ Kez and Sammy, due to the intervention order application.
Property Investors Council of Australia chair Ben Kingsley says the number of disputes between tenants and landlords is escalating in Victoria.
Property Investors Council of Australia chair Ben Kingsley said while badly-behaved tenants were a minority, Victoria was seeing a growing number using “all the tricks in the book” in their efforts to remain in rental properties when landlords wanted them to vacate.
“And the government has been supporting them with further rental reforms that make it very difficult for the owners to have control over their property,” Mr Kingsley said.
He added that in June 2025, the government spent millions of dollars establishing the Rental Dispute Resolution Victoria to streamline resolving rental disputes and take pressure off VCAT.
“But the reality is, with all of these reforms the unintended consequence is that we’re seeing a greater number of disputes,” Mr Kingsley said.
Tenants who owed their landlord a five-figure sum left this mess at a Melbourne rental abode. Picture: Supplied.
A Victorian government spokesman said the state’s rental laws protected the interests of both Victorian renters and rental providers.
“Consumer Affairs Victoria provides free information and resources for renters and rental providers,” the spokesman said.
Real Estate Institute of Victoria chief executive Toby Balazs said the 150-plus rental reforms implemented by the state government in recent years had created “some inequality” with rental providers’ rights not being protected in the same way that renters’ rights were.
Mr Balazs said the REIV supported laws to protect tenants and hold rental properties up to standards, but ramping up difficulties for managing rentals meant less incentive to supply such homes – thereby exacerbating the state’s housing crisis.
Ray White Victoria & Tasmania business development executive Lauren Macpherson says referring renters who cannot pay their rent to support services is often a helpful step.
While only a small minority of renters do the wrong thing, this is small comfort for landlords whose tenants don’t pay rent for long stretches or even trash a home.
Here are some tips for property investors and property managers dealing with tenants who won’t or can’t pay their rent.
Former Real Estate Institute of Victoria president and dedicated property management real estate professional Leah Calnan has encountered instances of tenants racking up anywhere from $14,000 to $26,000 in rental arrears.
Ms Calnan said in all instances there were delays in landlords being able to remove tenants as a result of requirements they undertake a series of prescribed actions through VCAT.
Sometimes tenants end up owing their landlords tens of thousands of dollars in back rent.
In some instances landlords were selling up to get out of the scenario, potentially decreasing the supply of rental homes for tenants who were paying their bills.
In one instance, Ms Calnan she said a landlord in Melbourne’s south east had wound up with a tenant owing in the vicinity of $26,000 — and then repeatedly breaking back into the property and trying to resume living there after they were legitimately evicted.
Finally stopping them took several thousand dollars more.
“The owners wound up setting up CCTV in the front and back to support their claims,” she said.
She said a skilled property manager could help minimise the timeline to getting problematic tenants removed, ensuring the correct processes were enacted at the right time.
Tips for landlords managing rent arrears
+ Ensure you have appropriate landlord insurance:
Landlord insurance that includes loss of rent cover can provide valuable protection if a renter falls behind due to unforeseen circumstances. It helps safeguard your income while the issue is being resolved;
+ Act early and communicate promptly:
Address missed payments as soon as they occur. Early, respectful communication often leads to quicker resolutions and helps prevent arrears from escalating;
Damaged walls at a Melbourne rental home.
+ Work with your property manager:
An experienced property manager understands legislation and correct notice timeframes and can guide you through arrears management while ensuring all actions remain compliant;
+ Ask about support and assistance referrals:
Rental providers should confirm that their property manager has advised the renter of organisations that may be able to assist with rent arrears or financial hardship. This may include community services, financial counselling, or emergency relief providers, which can sometimes help renters stabilise payments and reduce ongoing arrears.
Tips for property managers chasing rental arrears
+ Follow a strict daily arrears monitoring process;
+ Issue required notices within legislative timeframes;
+ Provide regular communication updates to renters and rental providers;
+ Seek direction at key decision points (including notices to vacate and VCAT applications);
+ Refer renters to support services to reduce prolonged arrears risk.
Metro Property Management director and ex-REIV president Leah Calnan, says that landlords can end up thousands of dollars out of pocket in their efforts to legally evict non-paying tenants. Picture: Supplied.
How to support a renter in financial hardship
+ Follow a clear, structured arrears process. Daily arrears’ management processes include reminders, follow-up communication and formal notices in line with legislation;
+ Encourage open discussion about hardship. Invite renters to get in touch immediately if they are experiencing financial stress so you can discuss options;
+ Consider structured repayment plans where appropriate. Where legislation allows and circumstances support it, potentially facilitate structured repayment arrangements to help renters stabilise their position while maintaining their tenancy.
Source: Ray White Victoria & Tasmania business development executive Lauren Macpherson and Ray White Benalla
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