This Just In: Renters Now Have More Rights, with Law Changes Including New VCAT Powers to Prevent Unfair Rent Increases
Coming into effect on Tuesday, March 31, a host of rental-friendly changes to the law now offer tenants more protections.
The cost-of-living crisis won't be subsiding anytime soon, with inflation rising once again. Not only does that mean your favourite banh mi has probably passed the double-digit mark, but your landlord is likely itching to pass on mortgage rate risers, too.
Fortunately, Consumer Affairs Victoria (CAV) has continued to roll out more protections for renters, with the latest changes coming into effect on Tuesday, March 31. That includes giving the Victorian Civil and Administrative Tribunal (VCAT) additional factors to consider when determining if a proposed rent increase is excessive.
With this in mind, it's now mandatory for VCAT to consider the Consumer Price Index (CPI) — the measure of inflation — when assessing whether a rent increase is unreasonable. With CPI currently at 3.3 percent, rent increases that far exceed this figure could be considered unfair.
In addition, CAV has implemented a new standardised form for rental applications, which rental providers and real estate agents must use. In February, Melbourne's rental vacancy rate was measured at 1.6 percent, so this change should make it faster and easier for renters to find their next home.
Another significant change now in effect is a ban on third-party fees for applications and rent payments. Now, rent tech platforms won't be able to charge tenants just for using their service, while rental providers must provide at least one payment method where renters don't have to pay a fee.
What's more, CAV can now issue fines for some breaches, with individuals and businesses that break the law on the hook for $2400 and $12,000, respectively. And in October 2026, more renter-positive changes will arrive, including a strengthened bond claim process, mandatory gas and electricity safety checks, and mandatory record-keeping for rental minimum standards.
For more information, head to the Consumer Affairs Victoria website.
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