Victorian Rental Reform Changes Starting November 2025

VictorianRentalReforms2025

From 25 November 2025, significant changes to Victoria’s rental laws have reshaped how properties are advertised, leased and managed. These reforms affect rental providers, renters and property managers across the state, and usher in higher expectations around compliance, documentation and service.

At MRE, we have refined our processes, technology and training to ensure our clients stay ahead of these reforms.

Rental providers and property managers will now need to follow new rules regarding:

Rent increases and notice periods.
How and when a tenancy can be ended.
Rental applications and advertising.
Minimum property standards and compliance.
Data privacy and information handling.
Professional standards for agents and their staff.

Key reforms at a glance

1. End of “end of initial fixed term” notices to vacate

Rental providers will no longer be able to issue a notice to vacate simply because the first fixed term is ending. The tenancy will continue unless a valid ground exists under the legislation. This can make it more difficult to remove problematic renters once they are in place, which is why careful selection from the outset matters more than ever.

What this means for you:

Higher importance on quality renter selection and screening.
Stronger need for clear house rules and expectations from day one.
Early intervention and documentation if issues arise during the tenancy.

2. Longer notice periods for rent increases

The minimum notice period for a rent increase will extend from 60 days to 90 days. This change is designed to give renters more time to plan for higher housing costs and promotes greater transparency around rent reviews.

What this means for you:

Rent reviews must be scheduled earlier and planned in advance.
Comparable market evidence and documentation will be even more important.
Any dispute about an increase may need to be resolved before it can take effect.
Renters who believe an increase is excessive can ask Consumer Affairs Victoria to review it and may have the matter determined at VCAT.

3. Ban on rental bidding

Rental bidding will be banned. Rental providers and agents cannot encourage or accept offers above the advertised rent, even if the offer is unsolicited. Advertising a property at a lower rent to attract interest and then expecting applicants to pay more will no longer be acceptable.

What this means for you:

Advertised rents must be realistic and defensible.
There is more emphasis on setting the right asking rent from the start.
Any adjustment to the asking rent must be handled within the rules

4. Limits on rent in advance

Rental providers will be prohibited from requesting or accepting more than one month’s rent in advance, including unsolicited offers. This forms part of broader protections designed to keep application processes fair and consistent.

What this means for you:

Standard expectations around rent in advance will apply to all applicants.
Leasing strategies should not rely on larger advance payments as a filter.

5. Standardised rental application forms

Applications will need to use a prescribed format, and rental providers will be limited to requesting only the specific identity, financial, employment and tenancy history information allowed under the rules. Custom forms that seek extra information outside these limits will not comply.

What this means for you:

Application processes and forms must be updated to align with the new standard
Staff will need clear guidance on what can and cannot be requested
Consistency and fairness across all applicants will be under closer scrutiny

6. Minimum standards before advertising

A property cannot be advertised unless the rental provider or agent has reasonable grounds to believe it already meets all minimum rental standards. This includes things such as safety, security, heating and basic facilities.

What this means for you:

More work is required before listing, including inspections and compliance checks
Some properties may need repairs or upgrades before going to market
There may be longer vacancy lead times if works are required, but reduced risk of non-compliance later

7. Stronger protection of renter data

Agencies and rental providers will be expected to handle renter data with far greater care. Only prescribed information can be collected, and there are stricter expectations for secure storage, restricted access and safe disposal of personal data such as:

What this means for you:

Application forms and supporting documents
Identification
Financial and employment records
Contact details
Tenancy history

MRE is investing in encrypted systems, controlled access, secure disposal and supplier checks to ensure renter information is protected at every stage.

8. Longer notice periods for certain notices to vacate

For specific grounds such as repairs, demolition, change of use, sale or owner occupation, the minimum notice period will increase from 60 days to 90 days. Renters, however, will still generally be able to end their agreement with just 15 days’ notice in some of these situations.

What this means for you:

Planning for major works, sales or moving into your property needs to start earlier
Communication with your property manager should occur as soon as you are considering a change
There is more time for renters to secure alternative accommodation, but also a need for structured timelines and documentation

MRE has been ahead of the curve on these reforms.

So, how will we make the transition seamless for you?

Our focus includes:

Reviewing and updating all leasing documentation and procedures
Conducting detailed rent review processes supported by market evidence
Strengthening renter screening and selection frameworks
Implementing secure, audited systems for data storage and access
Training our team in the new rules, notice periods and evidence requirements
Providing clear communication to both rental providers and renters about their rights and responsibilities
If you own an investment property or are considering purchasing one in Victoria, we can explain how these changes affect your situation and what steps you should take now.

Talk to us about your property

If you would like specific advice on how the Victorian Rental Reform Changes 2025 affect your property, rent, or future plans, contact our property management team. We can review your current tenancy, assess your property’s readiness and help you move into the 2025 framework with confidence.

MRE Rental Ready Guarantee™

The Consumer and Planning Legislation Amendment (Housing Statement Reform) 2025 sets out new minimum standards and compliance requirements for Victorian rental properties. These standards must be met before a property is advertised, and non-compliance can lead to penalties exceeding $12,000 for individuals and more than $61,000 for companies.

MRE supports owners by managing these expectations with a structured compliance process.

Our focus is to reduce risk and limit administrative burden on owners, and ensure properties meet the required standards throughout a tenancy. This is why we have introduced the MRE Rental Ready Guarantee™.

What We Do

MRE, supported by trusted specialists, assesses and documents all relevant Victorian minimum standards as part of your premium property management. This includes:

Inspecting, testing and documenting all other minimum standards at all routine inspections.
Regular tenant interaction and proactive maintenance and action.
Reporting any areas requiring action and providing recommendations from reliable trades.
Compliance fee and rental ready guarantee are $60+gst per quarter.

How the Guarantee Works

If MRE has inspected your property, confirmed compliance for specific minimum standards, and documented this through our reporting, we accept responsibility for those standards. Should a fine be issued for a standard we have confirmed as compliant, we will pay that fine on your behalf.

This applies from the date of the most recent compliance assessment and continues until the next scheduled inspection.

Owner Responsibilities

To ensure the guarantee remains active, owners must:

Approve recommended works within the timeframes advised by MRE.
Fund any repairs or rectification required to reach compliance.
Ensure trades can access the property.
Inform MRE if independent works are carried out, so compliance can be re-checked if needed.
If owners decline or delay recommended work, MRE cannot confirm compliance for the affected items, and the guarantee will not apply to those areas.

Clear Scope of Cover

The MRE Rental Ready Guarantee™ covers fines issued due to non-compliance with minimum standards that MRE has already assessed, confirmed as compliant, and recorded. It does not cover fines resulting from:

Owner decisions not to proceed with recommended works.
Issues arising after a tenancy begins that could not have been identified at the time of assessment.
Standards outside the scope of Victorian minimum standard requirements.

MRE will of course continue to represent you and work to achieve optimal outcomes in any such instances, as detailed in our valid Managing Authority.