The Victorian government will officially implement a series of five new rental reforms from Tuesday. Pictured: Jacinta Allan and Nick Staikos. NewsWire/Andrew Henshaw.
Victoria’s rental market will be hit with a new wave of regulation and rule changes from Tuesday next week, including the end of no fault evictions and the death of rental bidding.
Also among the changes taking effect from Tuesday will be an extension on notice periods for rental increases to 90 days, as well as for certain notices requiring they vacate the home.
The Consumer Affairs website also flags homes being advertised for rent from November 25 will be required to meet the state’s minimum standards, and any tenancy signed since March 29, 2021, will be subject to mandatory annual smoke alarm checks.
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Landlords and agents will also be required to protect tenants’ information from misuse, and it will become an offence to disclose information without the tenant’s consent.
On December 1 another key change will make it mandatory for all window cords to be anchored and prevented from forming loops, in an effort to address a home safety hazard.
With the latest five of Victoria’s 150 rental reforms since 2021 now imminent, Consumer Affairs minister Nick Staikos has indicated he’s not expecting to announce further changes in the near future.
“Never say never, but I have a pretty full dance card when it comes to rental reforms,” Mr Staikos said.
Victorian Consumer Affairs minister Nick Staikos hasn’t ruled out more rental reforms — but says his “dance card” is pretty full now. Picture: NewsWire / Diego Fedele
He noted that the change to stop landlords and agents accepting bids above the asking rent from tenants was the last step in stamping out the practice, after rental providers were banned from soliciting them 2021, and enforcement would commence immediately.
“By closing this loophole we’re stamping out rental bidding and putting dishonest and opportunistic estate agents and rental providers on notice – as of next Tuesday it will be illegal to accept bids above a property’s advertised rental price from prospective tenants.”
Consumer Affairs Victoria’s renting task force has issued over 90 fines totalling more than $750,000 for key rental offences since it was established in 2024.
Renters will also receive protection from eviction, with only valid reasons to allow for their removal from the home including the sale of the property, renovation or a breach of the agreement — such as failing to pay rent.
When a fixed term ends, the tenant will automatically move onto a month-by-month lease — unless another fixed term agreement is signed.
Tenants Victoria chief executive Jennifer Beveridge said the move marked the end of renters being “pitted against each other” to drive up prices.
Tenants Victoria chief executive Jennifer Beveridge says the changes are a major win for tenants.
“Renters can now attend open inspections for the properties within their budget without fear that the home will be leased for more than they can afford,” Ms Beveridge said.
“It’s hard enough trying to find somewhere to live without turning the rental market into an auction house.
“There’s more to do to level the playing field for renters and the changes coming into force this month show there’s a real appetite to fix some of the system’s major flaws.”
Property Investors Council of Australia board member Ben Kingsley said with an exodus of landlords still ongoing in Victoria, Tuesday’s changes were the latest proof that the state government didn’t want investors here.
“No landlord is requesting any dance with this government on their dance card,” Mr Kingsley said.
Mr Kingsley said the no fault eviction change had been particularly poorly handled, with poor communication to investors about the details of changes from the government.
PICA board member Ben Kingsley says the reforms have been poorly communicated.
Real Estate Institute of Victoria chief executive Toby Balazs said it was important tenants could access safe and secure homes at a time when rental vacancy rates were low.
“The REIV wants to ensure there is a fair and balanced rental market that considers all key stakeholders: renters, rental providers and property managers,” Mr Balazs said.
“Private rental providers account for more than 90% of the market, so its important the government recognises this when adding rules, regulations and costs that they must carry and abide by.
“One of the biggest challenges for property managers is keeping up with the rate of change for staying compliant and meeting minimum standards. While the new regulations are still being finalised, the impact of the breadth and depth of these changes cannot be underestimated for those trying to compliantly manage these properties.”
From Tuesday, tenants will have extra protections from eviction.
Just over a week ago the government also passed a bill that will from next year allow tenants to transfer their bond from their old home to their next one, saving them from having to pay for two bonds at once when moving home.
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