New Victorian Rental Laws 2026: What Renters and Small Landlords in Melbourne Are Getting Wrong

Victoria’s rental law reforms — rolled out across 2021–2026 — represent one of the most significant overhauls of residential tenancy rules in the state’s history. For Melbourne renters and landlords alike, the changes touch nearly every stage of a tenancy: how applications are processed, what conditions a property must meet, how rent can increase, when a rental provider can end a tenancy, and how disputes are resolved. Most confusion stems from partial awareness — people know something has changed but misapply or underestimate the actual rules.

No-Fault Evictions Are Now Banned

The ban on no-cause notices to vacate is one of the most misunderstood reforms. A rental provider can no longer end a periodic tenancy simply because they want the property back. Under Consumer Affairs Victoria’s current guidance, a rental provider must give a valid reason for a notice to vacate, and the reason must be one recognised by the Residential Tenancies Act 1997 (Vic).

Valid grounds can include the rental provider or an eligible family member moving in, sale of the property requiring vacant possession, demolition, change of use, or substantial repairs or renovations. Each ground has its own notice period, and some require supporting evidence such as a statutory declaration, contract of sale, building permit, or other prescribed documents. If that evidence is missing, the notice may be invalid.

What landlords frequently get wrong: issuing a notice to vacate without a valid statutory reason, assuming the old “no reason required” approach still applies. What renters get wrong: not knowing they can challenge an invalid notice through VCAT, where an unsubstantiated notice may not be upheld.

Rental Bidding Is Illegal — and So Is Asking for It

Rental bidding — where agents invite or accept offers above the advertised rent — has been progressively restricted under Victorian law, with stricter rules now in force. A rental property must be advertised at a fixed amount, and it is unlawful for a rental provider or agent to advertise a price range, ask for, invite, or accept rent offers higher than the advertised price, ask for more than one month’s rent in advance, or advertise the property unless they reasonably believe it meets minimum rental standards. Renters who are pressured into offering above the listed rent can report the issue to Consumer Affairs Victoria.

The new rental application rules are another major source of confusion. From 31 March 2026, rental providers and agents must use the prescribed rental application form, and they can only ask for the information set out in that form. They can request no more than two documents to confirm a renter’s capacity to pay rent and no more than two identity documents. They also cannot ask for information such as whether the applicant has previously taken legal action against a rental provider, bond-claim history, detailed bank statements with daily transactions, or questions outside the prescribed form.

Minimum Standards Are Not Optional

Victorian rental properties must meet a baseline of liveability standards before they can be leased. Consumer Affairs Victoria’s rental minimum standards now cover 15 categories, including bathrooms, electrical safety, heating, kitchens, laundries, lighting, locks, mould and damp, structural soundness, toilets, ventilation, vermin-proof bins, windows, window coverings, and window covering anchors.

The practical details matter. External entry doors need functional locks, kitchens need a working stovetop with at least two burners, bathrooms need hot and cold water, and all rooms must be free from mould and damp caused by or related to the building structure. From 25 November 2025, rental properties must meet minimum standards before they are advertised, and from 1 December 2025, corded internal window coverings such as blinds and curtains must have an anchor installed to stop cords forming loops.

Smoke alarms are another non-negotiable safety obligation. Rental providers must ensure smoke alarms are properly installed and working, and from 25 November 2025 annual smoke alarm safety checks became mandatory for all rental properties. Smoke alarms must also meet the relevant Australian Standard, as set out in Consumer Affairs Victoria’s smoke alarm and fire safety guidance.

Where landlords come unstuck is treating older properties as automatically exempt. The rules are not simply about when a property was built. Minimum standards generally apply to agreements that started on or after 29 March 2021, or older agreements that became periodic on or after that date. There are limited exceptions, but small landlords should not assume a pre-2021 property is “grandfathered” without checking the current rules.

Rent Increases: Process Matters as Much as Amount

A rent increase in Victoria must follow the correct process. In most cases, rent can only be increased once every 12 months, and from 25 November 2025 a rental provider must give at least 90 days’ written notice using the correct Notice of rent increase form. The notice must state the amount of the increase, explain how it was calculated, and tell the renter what they can do if they think the increase is too high.

A notice that omits required information or uses the wrong form may be invalid and unenforceable. Renters who believe an increase is excessive can ask Consumer Affairs Victoria for a free rent assessment and, if needed, apply to VCAT. From 31 March 2026, Consumer Affairs Victoria and VCAT also have additional considerations when assessing rent increases, including whether the increase is higher than the market range for comparable properties.

Pets and Body Corporate: A Common Point of Confusion

Renters can apply to keep a pet under the Residential Tenancies Act 1997 (Vic), and rental providers cannot simply say no. Under Consumer Affairs Victoria’s pets in rental properties guidance, a renter must submit a pet request form, and the rental provider has 14 days to respond. If the rental provider wants to refuse, they must apply to VCAT within that period and tell the renter they have done so. If they do not respond within 14 days, the renter can keep the pet.

However, apartments and units add another layer. If the rented property is part of an owners corporation, renters must also comply with owners corporation rules that apply to common property and lots, including rules about pets, noise, and nuisance. Consumer Affairs Victoria notes that owners corporation rules apply to tenants as well as owners, and renters should be given a copy before moving in.

That does not mean every apartment pet request can be rejected automatically. It means the rental provider, renter, and owners corporation rules all need to be considered together. Renters in strata properties should check the owners corporation rules before submitting a pet application, especially where the pet may use common areas.

Accessibility Modifications Are Also Part of the Compliance Picture

Another overlooked part of the rental reforms is disability-related modifications. Consumer Affairs Victoria explains that renters may need written agreement from the rental provider — and the owners corporation if there is one — before making disability-related changes such as ramps, handrails, or lever taps. However, rental providers cannot refuse disability-related modifications without a good reason.

For renters with disability, and for landlords wanting to keep properties safe, compliant, and liveable, it is worth planning these requests carefully. Providers such as Mobility Access Modifications can help with practical home changes like ramps, handrails, bathroom access upgrades, and other mobility-related modifications that may support safer long-term renting.

How Compliant Property Management Reduces Risk for Both Parties

Property management firms operating under the updated framework — such as Forge Real Estate — manage rent increases, repair obligations, notice requirements, application processes, and minimum-standards checks in alignment with current Consumer Affairs Victoria guidance. For landlords, this reduces exposure to VCAT disputes, invalid notices, compensation claims, and compliance penalties. For renters, it means dealing with a manager who understands that minimum standards, valid notices, transparent application processes, and repair obligations are legal requirements rather than optional courtesies.

When disputes do arise around repairs, mould, rent increases, pets, disability-related modifications, or lease conditions, early internal resolution is usually faster and cheaper than formal proceedings. The key in 2026 is no longer just knowing that Victoria’s rental laws changed. It is knowing exactly which rule applies, which form must be used, which evidence is required, and which forum — Consumer Affairs Victoria or VCAT — can actually resolve the issue.

Forge Real Estate Melbourne can help you blueprint your future by finding the perfect blue-chip property where your lifestyle needs and investment goals converge.

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