Rent Increase Calculator - Victoria
Calculate Your Maximum Rent Increase
Based on Victoria's Residential Tenancy Act 1997, your landlord can only increase rent by the annual CPI percentage. This calculator shows the legal maximum increase for your current rent.
Results
Based on Victoria's 2024 CPI limit of 4.7%
Current rent:
Maximum increase allowed:
New rent amount:
Note: Landlords must provide a written notice at least 60 days before the increase. The calculation is based on the official CPI limit published by Consumer Affairs Victoria. If your landlord's increase exceeds this amount, you have the right to dispute it.
Ever gotten a sudden notice saying your rent is going up and wondered if it’s even legal? You’re not alone. In many Australian states, landlords can’t just hike the rent by any amount they want. There are clear rules that cap how much a rent can rise, when it can happen, and how you’ll be told about it. This guide breaks down those rules, shows you how to spot a bogus increase, and tells you what to do if you think the landlord crossed the line.
What the law actually says
In Victoria, the Residential Tenancy Act 1997 governs all residential rental arrangements, setting out rights and obligations for tenants and landlords alike is the cornerstone. While each state has its own version, the principle is the same: there is a rent increase limit the maximum percentage or amount by which a landlord may raise rent during a tenancy period. In Victoria, the limit is tied to the Consumer Price Index (CPI) and is published each year by Consumer Affairs Victoria.
Fixed‑term vs. periodic leases
Not all leases are created equal, and the type you have changes how and when a rent increase can happen.
| Lease type | When can rent be increased? | Notice period required | Maximum increase |
|---|---|---|---|
| Fixed‑term (usually 6‑12 months) | Only at the end of the term, unless the agreement includes a specific rent review clause. | Same as periodic - at least 60 days for a written notice. | Up to the CPI‑based limit for the year, unless a higher amount is written into the contract and agreed by both parties. |
| Periodic (month‑to‑month) | Any time after the first six months of occupation. | Minimum 60 days written notice. | Bound by the annual CPI‑based limit. |
How to calculate the permitted increase
Each year, Consumer Affairs Victoria releases the CPI figure that caps rent hikes. For example, in 2024 the limit was 4.7%. That means if you’re paying $400 a week, the most a landlord could legally raise it in that year is $18.80 (400×0.047). Some landlords try to justify a higher increase by pointing to market rent, but unless the lease explicitly allows a market‑based review, the statutory limit still applies.
To double‑check, look up the current CPI limit on the Consumer Affairs Victoria website or call their helpline. If the landlord’s notice exceeds that figure, you have a strong case to dispute it.
Notice requirements you must receive
Even if the increase falls within the legal cap, landlords can’t just whisper it to you at the door. The Notice of Rent Increase is a formal written document that must be served at least 60 days before the new rent takes effect. The notice must include:
- The current rent amount.
- The proposed new rent.
- The exact date when the new rent starts.
- Reference to the statutory limit (e.g., “in line with the 2025 CPI limit”).
If you receive a verbal notice or a notice with less than 60 days, you can reject it outright.
What to do if you think the increase is illegal
You have a few options:
- Talk to the landlord. Sometimes it’s a simple mistake, and a polite chat resolves it.
- Contact Consumer Affairs Victoria. They can mediate and, if needed, issue a formal warning.
- Apply to the Victorian Civil and Administrative Tribunal (VCAT). The Victorian Civil and Administrative Tribunal handles tenancy disputes, including unlawful rent increases can order the landlord to revert to the original rent and may impose penalties.
When you go to VCAT, bring:
- Your tenancy agreement.
- The rent increase notice.
- Proof of the current CPI limit.
- Any correspondence with the landlord.
Common tricks landlords try (and how to dodge them)
Even seasoned tenants sometimes fall for sneaky tactics. Here are a few to watch out for:
- “Market rent” clauses. Some leases say the rent will be adjusted to market rates each year. If the clause doesn’t specify the CPI limit, it could be unenforceable. Ask for a written clarification.
- Back‑dated notices. A landlord might hand you a notice dated weeks ago to claim you’ve missed the 60‑day window. Verify the date on the document; you can request a fresh notice if needed.
- Partial month calculations. Landlords sometimes calculate a higher increase by adding a full month’s rent to a weekly increase. The law requires the increase to be based on the weekly or fortnightly rent amount, not a blended month.
Quick checklist for tenants
- Know whether you’re on a fixed‑term or periodic lease.
- Check the latest CPI‑based rent increase limit (Consumer Affairs Victoria).
- Ensure you get a written Notice of Rent Increase at least 60 days before the change.
- Verify the proposed increase doesn’t exceed the statutory percentage.
- If something feels off, contact Consumer Affairs or consider VCAT.
Frequently Asked Questions
Can a landlord increase rent during the first six months?
No. For periodic leases, the law prevents any increase in the first six months of occupation. Fixed‑term leases can only raise rent at the end of the term unless the contract explicitly states otherwise.
What if my landlord offers a higher increase than the CPI limit?
You can reject the notice. If the landlord persists, you may lodge a complaint with Consumer Affairs Victoria or apply to VCAT, which can enforce the legal cap and order a refund of any over‑paid rent.
Do I have to accept a rent increase if I’m on a fixed‑term lease?
Only if the lease includes a rent review clause that complies with the law. Otherwise, the landlord must wait until the end of the fixed term to propose a new rent.
How can I find the current CPI rent increase limit?
Visit the Consumer Affairs Victoria website or call their information line. They publish the annual percentage and provide a simple calculator.
What evidence do I need for a VCAT dispute?
Bring your signed tenancy agreement, the rent increase notice, proof of the CPI limit (official notice or website screenshot), and any written communication with the landlord about the increase.
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