Victorian Rental Reforms

What this means for Renters and Rental Providers

Victorian Rental Law Reforms – What You Need to Know

Significant changes to Victoria's rental laws have now come into effect. These reforms are aimed at strengthening renter protections and improving the quality, energy efficiency, and sustainability of rental homes across the state.

Upcoming reforms  Reforms now in effect Download PDF

 

Navigating legislative change can be complex, particularly when it comes to understanding your obligations as a rental provider. Whether you’re a rental provider or a renter, staying informed is key. 

Our team is here to guide you through these changes, helping rental providers meet their obligations and renters understand their rights and responsibilities for a smoother, more transparent rental experience for everyone.

Upcoming:

 

Effective from 1 March 2027

 

New Minimum Energy Efficiency Standards – Phased Introduction from 2027

Starting 1 March 2027,Victoria will begin a phased rollout of upgraded energy efficiency standards to help meet the state’s emissions reduction goals. These new standards aim to improve home comfort, reduce energy bills for renters, and lower overall emissions.

Ceiling Insulation

Rental Providers must install ceiling insulation in the property where there are areas without insulation and meet minimum insulation requirements. 

Cooling Standards

Rental providers must install energy-efficient cooling in the main living area at the start of a new or month-to-month rental agreement. This includes a minimum of a 3-star fixed cooling appliance or a 2-star equivalent central cooler. Existing non-energy-efficient cooling systems must be upgraded when they reach the end of their lifespan.

From 1 July 2030, all rental properties must meet these cooling standards, regardless of when the rental agreement began, unless an exemption applies.

Heating and Hot Water

Outdated heating and hot water systems must be replaced with energy-efficient electric alternatives when they reach the end of their lifespan.

Showerheads

Showerheads must meet a minimum 4-star water efficiency rating.

 

Effective from 1 June 2027 

 

Direct bond payment to RTBA 

Renters may elect to pay their bond directly to the Residential Tenancies Bond Authority. The rental provider must facilitate the lodgement process. Once requested by RTBA, the renter has 2 days to pay. Renters cannot be refused because they choose this option. 

Discrimination – Family or Personal Violence 

Rental providers must not refuse to let premises to a person because they have experienced, or are experiencing, family or personal violence. 

Additional keys & security devices 

Rental providers must not unreasonably refuse requests for additional keys/security devices. Renters may be charged the "reasonable" costs being: cost of actual item and any administrative costs to obtain and activate the device. All keys/devices must be returned at the end of the tenancy. 

Disabling keys & security devices 

Keys/security devices must not be disabled unless the tenancy has lawfully ended, the premises are reasonably believed to be abandoned, or termination has been ordered by a court or VCAT. 

Break of lease – Loss of rent 

For fixed-term agreements up to 5 years that are terminated early, VCAT compensation for loss of rent is capped.  

25% or less of the lease term remaining: 1 week 
between 25–50% of the lease term remaining: 2 weeks  
between 50–75% of the lease term remaining: 3 weeks  
more than 75% of the lease term remaining: 4 weeks 

Family or Personal Violence – Bond & Compensation 

VCAT may exclude an affected renter’s bond contribution from compensation and apportion liability between renters, including making the person responsible for the violence liable for all loss, damage and unpaid rent. A conviction or intervention order is not required. 

 

Effective from 1 July 2027

Draughtproofing

External doors, windows, and unsealed wall vents must have weather seals installed to help reduce heat loss.

Now in Effect:

 

Now in effect as of 13 October 2026



Evidence Requirements for Certain Bond Claims

Before a rental provider or their agent can make a claim for repayment of a rental bond, each renter must be given at least 3 days' notice and provided with evidence supporting the claim.

Record keeping for minimum rental standards

Rental providers and their agents must keep records showing that the rental property complied with the minimum rental standards before it was advertised or offered for lease.

Rental providers must also keep records showing that the rental property complied with the minimum rental standards on or before the day the renter moved into the property.

Gas check before draughtproofing

Before undertaking draughtproofing work in a rental property with gas appliances, fixtures or fittings, a licensed or registered gasfitter must complete a pre-draughtproofing gas safety check within the previous 6 months to identify any gas safety risks.

Ban on rental providers and agents charging any fees for applications

Rental providers and their agents must not charge renters fees for making a rental application.

Mandatory gas and electrical safety checks every 2 years for all rental properties

Rental providers and their agents must ensure gas and electrical safety checks are carried out by a qualified tradesperson every two years, regardless of whether the residential rental agreement commenced before, on or after 13 October 2026.

 

Now in effect from 1 July 2026



Portable Rental Bond Scheme (PRBS)

From 1 July, renters who are moving from one rental property to another can apply to transfer their existing rental bond to their new rental property. For eligible renters, this new process helps ease the cost of moving by reducing the need to pay a second bond before the first bond has been released.

Find Out More 

 

Now in effect as of March 2026

 

Prescribed Rental Application Forms

A new standard application form for renters will be introduced to simplify the application process for both renters and real estate agents

Find out more

 

Now in effect as of December 2025

 

Mandatory Blind & Curtain Cord Standards 

All corded internal window coverings in residential rental properties must have an anchor installed to ensure the cords are secured or tensioned and can’t form a loose loop.

 

Now in effect as of November 2025

 

Compliance with Minimum Standards Before Advertising

Before a property can be advertised for rent, it must meet minimum standards. This ensures that rental properties are safe and habitable from the outset. 

Prohibition of Rental Bidding

Rental providers and real estate agents cannot request or accept offers above the advertised rental price. Encouraging or accepting rental bids are also prohibited, providing a fair and transparent rental process for everyone.

Limit on Rent in Advance

Residential rental providers are not allowed to accept unsolicited or uninvited offers to pay rent more than one month in advance under a rental agreement.

Ban on ‘No Reason/no-fault’ Evictions

Rental providers will no longer be able to end a lease at the end of a fixed-term without providing a valid reason. These include the owner or their family moving into the property, planned demolition or major renovations, or selling the property with vacant possession.

Extension of Notice Periods

The required notice period for rent increases and vacate notices will increase from 60 to 90 days, providing tenants with more time to adjust to changes.

Right to challenge excessive rent increases

Renters may apply to the RDRV to challenge excessive rent increases, based on the amount and frequency of the increases. If the matter is not resolved through RDRV, it may be escalated to VCAT.

Mandatory Annual Smoke Alarm Checks

Rental Providers are required to conduct annual smoke alarm safety checks, irrespective of when the rental agreement was established (previously the mandatory checks were only for rental agreements entered into after 2021).

 

Now in effect as of June 2025

 

Residential Dispute Resolution Victoria (RDRV)

All disputes relating to bonds, compensation, rent increases, and repairs must now be managed through Residential Dispute Resolution Victoria (RDRV) before they can be escalated to Victorian Civil and Administrative Tribunal (VCAT). RDRV is a free and efficient service that helps rental providers and renters resolve issues through early intervention and mutual agreement, aiming to avoid the need for a formal hearing.

 

We’re Here to Support You

If you have any questions or would like to discuss what these changes mean for your property, please contact your property manager directly.

* Notice of rent increase and notice to vacate require supporting documentation to accompany the notice. For more information please contact your property manager or visit: https://www.consumer.vic.gov.au/housing/renting/rent-bond-bills-and-condition-reports/rent/rent-increases and https://www.consumer.vic.gov.au/housing/renting/moving-out-giving-notice-and-evictions/notice-to-vacate/notice-to-vacate-in-rental-properties